Bitcoin price has returned to $88,000 twice in the past few hours, but was rejected there and plummeted both times.
The asset was hovering around $87,000 at press time, but has begun to recover from last week's levels below $82,000 as odds of a Fed rate cut rise again. Analysts generally believe we are not yet in a bear market and expect liquidity injections to push prices higher.
Bullish market bands lose support
“It is now clear that Bitcoin has completely lost its bull market support band,” analyst Daan Crypto Trades said on Sunday. He added that the recent demotion resulted in a $20,000 gap between returning to the band.
But he said assets would return to these levels, a key area to watch, adding: “As long as the April lows are held, the structure of the weekly market is still technically intact.”
Bitcoin fell to $75,000 in April, but this correction was sharper and deeper in terms of decline.
$BTC It is now clear that Bitcoin has completely lost its bull market support band.
This supported the price almost all cycles, but there were some small deviations below.
However, a recent demotion left him more than $20,000 away from returning to the band.
Someday… pic.twitter.com/dL15LFlMix
— Dan Crypto Trades (@Dancrypto) November 23
Analysts at Recto Capital analyzed weekly candlesticks and predicted, “There is little support or resistance in this area, so if the price closes above $86,000, the price could return to $93,000.'' The weekly candlestick ended at $86,820, according to TradingView.
You may also like:
- Robert Kiyosaki turns Bitcoin into cash: What's behind his surprising decision?
- Bitcoin loses $90,000 support as on-chain data suggests next $70,000
- Bitcoin won't reach $200,000 until 2029, Peter Brandt warns as market dips below $3 trillion
Fellow analyst Stock Money Lizards observed the Bitcoin wedge breakdown, oversold RSI, and panic that were also seen in March and April earlier this year.
“This pattern doesn't care about your story. It never does,” they said, noting that the all-time high followed a previous similar decline.
not so bullish
However, cryptocurrency commentator Colin Talks Crypto is less bullish, saying:
“I'm not going to do a sharp reversal of macro bullishness like I did with the new ATH. A bailout rebound, yes. After being so oversold, a rebound was *inevitable*.”
He added that to have a chance of hitting new all-time highs, major headline levels would need to return to levels “much higher than where they are now.” “There is no reason to believe that this is not simply the large relief rally that was expected,” he said.
BTC was trading near $87,000 at the time of writing following a weekend rally.
