Bitcoin (BTC) consolidates in uncertainty, while Ether (ETH) outperforms
Bitcoin (BTC) is coming back from another red week and seems to be stabilizing around $30,000. Which scenario is it heading towards?
- After a spectacular rise, the price of Bitcoin (BTC) corrected for the second consecutive week.
- Such a correction is healthy and necessary after the crazy rise of the previous weeks, and should only be temporary.
- Bitcoin in WeeklyBitcoin in WeeklyBitcoin in Weekly
Bitcoin is based on Tenkan Weekly, the first support during an uptrend.
If on this scale, we can already observe an RSI that has deflated well, the correction Crypto Engine platform could continue. A return on the Kijun and the $25,000 is not to be excluded for the next few weeks. To find out more, let’s look at the smaller units of time.
The situation on a daily scale is mixed. On the one hand, Bitcoin has fallen below the significant $34,000 level. It is now playing the role of resistance, reinforced by Tenkan and then Kijun.
If there is no longer an uptrend, Bitcoin may simply be in a neutral trend phase. This is because the price rebounds on the lower bound of the Bollinger bands, horizontally.
The scenario of a horizontal consolidation between the two bands is therefore still possible, but the $30,000 support will have to be held for that. It will also be necessary to exceed $34,000 to give credit to this range assumption.
An H4 that holds
In H4, we find this decisive $30,000 level. A much clearer descending triangle pattern can be observed here. If it is a pattern that usually breaks from the bottom, the support must give way to confirm it.
The Bitcoin in H4The Bitcoin in H4
As you can see, as long as the $30,000 holds, Bitcoin is neutral and anything is still possible.
If the resistance slant breaks, the $30,000 to $40,000 range scenario will be preferred.
If the horizontal support breaks, the Bitcoin should continue to fall. The targets would then be $25,000 (Kijun Weekly) as well as $20,000 (former ATH and theoretical triangle target).