Bitcoin Price Forecast Will the Bearish Momentum Reverse as Price Falls Below 65k

The cryptocurrency market, including Bitcoin and Ethereum, is currently in a state of uncertainty, making it difficult to determine what will happen next. Crypto analyst Josh has identified a significant warning signal on the Bitcoin chart, as the price is being rejected from a critical resistance area.

Upon analyzing the chart, Josh observes that there have been minimal changes in the past day. One notable observation is the bullish movement in the DXY (US Dollar Index), which is reaching new highs in its short-term trend. This is typically a bearish sign for Bitcoin and other cryptocurrencies since a rising DXY historically correlates with falling Bitcoin prices.

Josh explains that although we may still be in a larger bull market for longer time frames, the short-term trend for Bitcoin is bearish. This bearish trend is expected to continue as long as the DXY remains bullish. In order for the short-term trend to become bullish, there needs to be a bearish reversal in the DXY, which has not yet occurred.

So, what’s next for Bitcoin?

Upon analyzing the daily Bitcoin chart, Josh notices a rejection from the resistance area between $67,000 and $68,000, resulting in a pullback as the price approached this level. This indicates significant selling pressure within this resistance zone. Josh advises against becoming overly bullish until there is a confirmed breakout above $68,000. Key support levels to monitor are between $63,000 and $64,000. If Bitcoin falls below $63,000, it could potentially decline further to previous lows around $60,000, $58,000, and $56,000.

Despite these short-term bearish trends, Josh points out that as long as Bitcoin remains above the previous low range of $56,000 to $58,000, the larger bull market may still be intact. The market could be experiencing a substantial sideways consolidation similar to previous patterns.

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