Bitcoin (BTC) Might Return to $40K before another Upsurge

  • BTC price might explore lower zones as the dominant crypto searches or dependable support.
  • The prevailing chart setup indicates a potential upsurge after the anticipated retracement.
  • Bitcoin might plunge towards the massive defense line at $39,917 before unveiling the upcoming directional bias.

Bitcoin’s (BTC) price has displayed a bullish picture as the digital currency prints higher highs. The leading crypto might plummet lower, retesting vital supports zones as bulls gain steam to continue the upward movements.

BTC Bulls on a Break

BTC price created an ascending channel on its 12hr chat, revealing a bullish picture for the dominant digital coin. Though the optimistic case, Bitcoin might drop to retest crucial support areas. That would allow bulls to gather momentum for the upcoming rally.

Bitcoin’s first defense line stands at 100 12hr Simple Moving Average near $42,221, then 21 12hr Simple Moving Average at $41,359. Additional selling strength might push BTC lower to the 38.2% FIB retracement zone at $40,878, then to the governing technical pattern’s downward trend-line at $39,917, matching the 50 12Hr Simple Moving Average.

A surge in sell order might incentivize BTC bear to drag the coin lower to 23.6% FIB retracement zone of $38,232 before touching the MRI’s support line around $37,331.

On the other side, magnified bullish momentum might see buyers tagging the 50% retracement zone near $43,016, the level intersection with the prevailing chart setup’s middle boundary. Moreover, the TRIN, which measures market sentiment, shows fewer sellers than buyers in the marketplace.

Bitcoin price might encounter challenges at 61.8% FIB retracement mark around $45,154 before hitting the prevailing chart pattern’s top boundary at $48,199. This level matches the 78.6% FIB retracement zone.

For now, Bitcoin seems ready for a drop before embarking on the upside journey. Such narrative may have the crypto tagging $40K again as it searches for a dependable support barrier. Meanwhile, crypto pundits remain bullish on BTC, forecasting upsurges after the slight dip.

While publishing this article, Bitcoin traded around $42,251 after a brief decline. Also, the broad market reflects downward actions by crypto assets. The global cryptocurrency market cap hovered near $1.70 trillion at this writing.

Stay tuned for more updates.

Leave a Comment