The post BTC Reclaiming Trend Support: Is it a Fakeout or a Continuation into the Bitcoin Halving? appeared first on Coinpedia Fintech News
The crypto markets are undergoing a roller coaster ride by displaying extreme volatility in a very short time frame. Just over the past weekend, the Bitcoin price faced a massive pullback, which forced the price to head back towards the key support zone. The current trade setup indicates that the bulls continue to hold significant dominance, due to which another attempt beyond $72,000 may occur before the halving. However, it would be interesting to watch whether it would be a bullish continuation or another fakeout.
Regardless of the recent upswing, the BTC price remains stuck between trend resistance and support zones. The Bulls, however, managed to trigger a bullish breakout above the key resistance at $70,097, which has circulated a bullish wave across the markets. This may lead to a quick rally to $76,000 or even $80,000 after the halving. But the matter of concern is whether the bulls will manage to sustain above-average gains.
After the recent upswing to the new ATH, the BTC price began to consolidate within an ascending triangle, which is largely considered as a bullish pattern. However, the rally has yet to reach its apex and hence it may continue to maintain a sideways trend for some more time, probably until the halving. The Bollinger bands have turned parallel to each other, indicating a drop in volatility, which is further expected to converge creating enough pressure over the token.
On the other hand, the RSI is accumulating along the average, which suggests a major price action could be followed. The RSI is repeating a previous accumulation that had resulted in a breakdown earlier. This caused the price to plunge by over 15%, which was followed by an 85% jump, marking a new ATH close to $74,000. If a similar action repeats, then the probability of plunging below $64,000 emerges. However, the market appears to be optimistic, as less than 10 days remain for the Bitcoin halving.
Therefore, the next few days could be extremely important, as an extended consolidation could prevent a bearish pullback. Moreover, the volume is expected to drain more, creating an extended squeeze, which may in turn cause more pressure over the rally. This may assist the BTC price to trigger a healthy upswing towards new highs, probably above $76,000 soon after the Bitcoin halving.
