The price of Bitcoin has retreated after failing to break through $70,000, as traders appear to hold a pessimistic view of cryptocurrencies. The price is tightly consolidating within a certain range, indicating a very low probability of a breakout in the near term. However, volatility for the token is expected to increase in the coming days, so significant price changes may occur after any rebounds.
So, what will be the next step for the BTC price increase? Will it end this month's trading with bullish momentum?
This month, Bitcoin experienced a roller-coaster-like rise, while market participants have historically held a bullish attitude at the beginning of the last quarter. Nevertheless, bears are still waiting for prices to reach higher levels, while bulls are facing a lack of strength. In this situation, as BTC options expire this Friday, here are the expectations for the BTC price increase.
The BTC price has maintained above the 50-day moving average in the short term, but there are multiple downward trendlines. The price has not increased further, indicating that market makers are building long positions at the lowest levels to reverse the price breakout.
Short-term trading setups show that the price has established a traditional support zone between $68,656 and $66,806. The price is struggling to defend the 50-day exponential moving average (EMA), and if a rebound is triggered, the price is expected to rise back to resistance levels; otherwise, it may drop to around $65,400 support. The level around $69,000 has accumulated enough stop-losses for bears, so if the price breaks through these levels, bears are often liquidated.
Therefore, the price needs to break through resistance levels to form a new upward trend and invalidate the possibility of rejection. However, trading volume is decreasing, and if the Bitcoin (BTC) price rebounds and exceeds $68,800 over the weekend, it will validate the possibility of rejection.
The article is for reference only and does not constitute investment advice.
