The largest cryptocurrency, Bitcoin (BTC), recently broke above the critical range, and bearish scenarios have slowly begun to give way to bullish scenarios as the selling pressure has decreased significantly. Market participants are now targeting $70,000 after exceeding $62,000, but a possible pullback to $60,000 may slow down this rise.

Bitcoin's Price Volatility Peaked

Over the weekend, Bitcoin's price volatility peaked and trended differently as investors embraced the bearish sentiment. With an 8 percent rise since the weekend, sentiment has shifted in favor of bulls targeting $70,000 in the short term. However, before reaching new monthly highs, the bulls are expected to face strong bearish resistance that could temporarily delay the upward move.

Currently, those who are long in Bitcoin are facing high gains, indicating that the worst may be over for the price trend. Additionally, whales took advantage of the low prices and purchased over $4 billion worth of BTC between July 4-10 as short-term investors sold their holdings. Despite last week's crash, Bitcoin's price is poised to re-enter its post-whaling accumulation range.

Beware of Withdrawals

Although the chart indicates an upward trend, Bitcoin is not completely free from bearish effects. Hash strips show that miners remain under pressure and potential capitulation is still on the horizon. This shows that despite the recent rise, Bitcoin is still in a consolidation range.

So far the price has recovered in a V shape and is currently testing a critical resistance zone. Once this level is breached, bullish momentum may strengthen and potentially push the price above the lower support of the Gauss Channel.

This scenario could signal the beginning of a new uptrend, which could create a basis for the price to climb above the key resistance at $65,000 and reach $70,000. By then, Bitcoin's price could consolidate between $62,500 and $64,800 and wait for the next bullish momentum to arrive.