Job Bitcoin knife The movement around the $20,000 confluence over the past week shows no real signs of resilience: low volatility, lack of demand, and precarious price action. After retesting the key demand zone at $ 18k, the price temporarily recovered to the $22,000 resistance but was quickly rejected.
Technical analysis Bitcoin (BTC)
The following chart shows BTC formed a range after a sharp drop. If this range resolves to the upside, a rally to the major supply zone at $30,000 is likely. On the move, the 50-day MA ($ 23.270) could provide minor resistance for the price.
Conversely, if it is resolved to the downside, a drop to the $15,000-16,000 zone would be the most likely scenario. The RSI is currently just below the 50 level, a rejection here could send the price down once again.
4 hour chart BTC
Bitcoin has plummeted inside a descending parallel channel since April. After testing the lower border for the third time, the price consolidated inside a wedge, which is a continuation pattern.
Price recently found support at the lower trendline of the wedge (purple) and then spiked to the channel and wedge resistance lines.
If the price is rejected here, a sharp drop towards $18,000 is likely. Conversely, if the price breaks above this resistance confluence, the next target for Bitcoin will be $30,000.
Given the uncertainty of the financial markets in general and the current bearish sentiment in the crypto market, a fresh pullback is the more likely scenario.
Miner's Reserve Bitcoin
Bitcoin has been consolidating at $20,000 for the past few weeks. The Miner Reserve chart shows that the miners have distributed their coins.
Follow CryptoQuantMiners have sold a large amount of BTC in the past few weeks. They are under a lot of pressure because profits are dwindling.
Therefore, if this situation continues, selling pressure from miners could push the price lower further in the short term, to below $20,000.