- Bitcoin has seen some immensely bearish price movements in the past few days, with sellers taking full control of their price movements
- This has left buyers out of control of the market and unable to trigger further reversals
- It seems that the selling pressures seen over the past few days could further hamper its growth as BTC is now at risk of falling below some key levels
- An analyst spoke about it in a recent tweet, stating that he is nearing an important level of support that could allow him to see a rebound
- However, an acceleration of this downtrend could invalidate this strength and potentially lead to another significant downtrend in the coming days
Bitcoin and the entire cryptocurrency market have seen mixed price movements recently, with bulls unable to control the benchmark cryptocurrency’s trend while many altcoins are consolidating well above their recent lows.
However, the strength that BTC has seen over the past few weeks that allowed Altcoins to make massive gains has since gone and it could now start to put a tailwind on its price movements.
One analyst believes there will be further losses in the near future and notes that if bulls defend some key levels, its tech structure could be protected.
Bitcoin struggles to gain momentum when selling pressures rise
At the time of writing, Bitcoin is trading at over 10% from its current price of $ 31,800. This is a massive drop from the recent highs of $ 38,000 set a few days ago.
The entire market is completely risk free, but there doesn’t seem to be a clear catalyst for it.
Unless BTC stabilizes here or sees a massive rally in the short term, it could slide towards its next major support at $ 30,000 and $ 28,000 before seeing a v-shaped rebound.
Analyst: BTC gains critical support and makes a leap critical
An analyst recently stated in a tweet that BTC is about to break below a critical level of support that needs to be defended in the short term.
He notes that a break below this level could result in massive losses for the aggregate market.
“BTC: TL broke, back to HTF support. As long as sales don’t accelerate further, I think altcoins will improve their ratio and hack bitcoin. Continuation triangle invalid. With what it looks like now, I think more chop to expect. (Jump from here to 34k pls) ”
Image Courtesy of Smokey. Source: BTCUSD on TradingView.
The coming days should shed some light on Bitcoin’s price development and whether this move is a symbol of a deeper correction that is imminent in the short term.
Featured image from Unsplash. Charts from TradingView.