According to Blockware analyst Will Clemente, Bitcoin has reached a pivotal moment in the market, where the first cryptocurrency may fall below $20,000 if it falls below the range it has been in consolidation over the last 5 days.
As the chart shared by Clemente suggests, Bitcoin price is currently holding at the 200 WMA support line, and the specific price range, which are the only two factors preventing it from falling back to the $19,000 level.
A dip below $22,000 could bring the bitcoin price back to a level, which the market hasn’t seen in the past two weeks.
The main problem with the current state of BTC is that there are no short-term support zones that will protect Bitcoin from falling into the abyss again.
Fortunately, data flow and volume are still on the rise, which are direct signs of continued support for Bitcoin bulls before.
The Bearish News Didn’t Push Bitcoin’s Price Down
Fortunately, Tesla’s sale of 75% of its Bitcoin holdings and the ECB’s rate hike did not cause any abnormal volatility in the market, which is currently favorable for Bitcoin.
As the analysis indicates, Bitcoin needs more time to consolidate at local support levels, until the market shows a more stable rally in the future, as retail and larger institutional investors are still not ready to make any major inflows into the cryptocurrency market.
BTC is trading at $22,494 (at press time), showing a 1% gain in the last 24 hours.
Source: U.TODAY