Bitcoin CFN

  • Bitcoin's price is nearing the critical $63,000-$64,000 resistance, with potential for a pullback if this level holds.

  • Short-term bearish sentiment is reflected as Bitcoin trades below key EMAs, but RSI shows possible oversold conditions.

  • Bitcoin's price history suggests parabolic movements after previous highs, with another rally possible if key resistance breaks.

According to crypto analyst JavonTM1, Bitcoin’s price history shows that after breaking previous highs, it often delivers some of its most bullish movements. Notably, earlier this year, Bitcoin surpassed its previous high, raising expectations of another vertical price rally.

Bitcoin's historical price patterns follow a cycle of parabolic increases, followed by corrections that lead to re-accumulation before the next rally. These cycles are typically aligned with Bitcoin's halving events and involve sharp pullbacks after each bull run, retesting previous resistance zones. 

https://twitter.com/JavonTM1/status/1841217516732928376

Historical Resistance and Support Levels

Bitcoin's price has consistently retested key support zones after each bull run, providing a base for the next upward movement. For instance, after peaking at around $20,000 in 2017, it corrected to the $3,000 range. Following its $69,000 peak in 2021, it found support around $15,000-$16,000.

Currently, Bitcoin is approaching a resistance at $63,000-$64,000, which it has not yet broken through in its recent rally. If this level holds, Bitcoin may experience another upward trend. However, if the resistance remains firm, the price may pull back toward the $60,000 support zone, signaling further market correction.

Short-Term Price Analysis on a 4-Hour Timeframe

On a technical level, the chart of Bitcoin/USDT on the 4-hour timeframe highlights short-term bearish sentiment. Bitcoin is trading below both the 50-period and 200-period exponential moving averages (EMAs), indicating weakening momentum. 

Bitcoin Poised for Another Bullish Breakout After Retesting Key Support and Resistance LevelsSource: BingX

The current price of $61,422.39 falls beneath these EMAs, which now act as resistance levels. A sustained break above these averages could signal a reversal in Bitcoin’s short-term trend.

However, the relative strength index (RSI) suggests Bitcoin is nearing oversold territory, with a reading of 31.28. This could signal a potential price rebound, especially if buyers step in at the current levels.

Key Support and Resistance Zones

If Bitcoin fails to break above the 50-period EMA, the next support level to watch is $60,000, a critical psychological zone. A further decline below this level could lead to a deeper sell-off, while a rebound from the current oversold conditions might see Bitcoin retesting the $63,000-$64,000 range.

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