Cypher
Bitcoin TrendsPrice Analysis

Bears Control BTC Market; Indicators Point to a Turnaround

After a positive start to the day, bulls in the Bitcoin (BTC) market retraced after encountering tough resistance around the intraday high of $24,990.17. As a consequence of the bulls’ retreat, the BTC price fell by 1.88% to $24,440.84. This dip was shocking since many analysts projected that the bulls would break out and surge beyond the $25,000 level. As a result, many investors take a wait-and-see strategy in the Bitcoin market, wondering which direction the price will move next.

Consequently, the market capitalization and 24-hour trading volume fell by 2.03% and 1,56%, respectively, to $470,866,587,633 and $40,413,190,307. Despite the modest retreat, the general trend of BTC price remains favorable, with the BTC market retaining its ground. Investors seem to be bullish on the cryptocurrency’s future, and many have adopted a “buy-on-dips” approach, believing it is undervalued.

BTC/USD 24-hour price chart (source: CoinMarketCap)

The Keltner Channel bands rise on the 4-hour price chart, with the upper band at $24584.40 and the lower band at $22615.23, indicating a $1973.17 range, up from $1595.02 and the most fantastic intra-day range this week. This rise suggests the market’s increasing volatility, as traders are likely seeking fresh possibilities to profit from short-term and long-term profits in the present market. 

Cypher

With the possibility of the present market circumstances, traders have been more eager to take on greater-risk transactions in quest of better gains as the range has extended over the week.

The Money Flow Index (MFI) score of 72.76 reflects this rising volatility since higher readings suggest a rise in the number and intensity of trade signals. Because of the expanded range and Money Flow Index, traders have been more active in seeking to profit from price changes in markets that have been more volatile in the recent week. Therefore, when the range and Money Flow Index climb, traders may be more likely to increase their exposure to capitalize on the possibilities of this highly volatile market situation.

📰 Also read:  Bitcoin Surges Past Silver, Claiming the Eighth Largest Asset Title

But, with an RSI reading of 62.69, the risk of a retreat remains, as the RSI shows that the market may have overbought to profit from higher volatility. As a result, traders should keep in mind that a downturn remains a possibility despite high levels of volatility and Money Flow Index readings. Consequently, traders must be aware of the risk of a downturn and modify their holdings appropriately to optimize their possible profits.

BTC/USD 4-hour price chart (source: TradingView)

The Keltner Channel bands bulge on the 24-hour price chart, with the upper band at $24621.72 and the lower band at $20844.03. This bulge indicates a potential breakthrough for Bitcoin prices. While the price movement is advancing towards the upper band, the bullish momentum in the market will continue, as seen by the positive sentiment among investors. Given the market’s positive rate, investors remain confident that Bitcoin prices will rise.

Since the MFI score is 49.78, suggesting a lack of buying and selling pressure, Bitcoin prices may stay rangebound immediately, failing to break through the $24621.72 mark. Although the sentiment is positive, and there is a significant possibility of a breakthrough of the $24621.72 level, a lack of buying pressure, as shown by the MFI score, implies that prices may stay rangebound in the immediate term. But, if purchasing pressure increases, a breakthrough of the $24621.72 level is probable, which may lead to additional advances in Bitcoin prices.

📰 Also read:  BREAKING: Bitcoin Breaks New Ground Surpassing $71K, Ethereum Reaches New Peaks

At a value of 64.57, the RSI trend is above the signal, indicating intense purchasing pressure. With the RSI showing strong buying pressure and market sentiment generally favorable, Bitcoin prices might break clear of the $24621.72 level in the short term. 

BTC/USD 24-hour price chart (source: TradingView)

According to technical indicators, bulls still have a chance for a rebound, even if the trend is now negative.


Tokenhell produces content exposure for over 5,000 crypto companies and you can be one of them too! Contact at info@tokenhell.com if you have any questions. Cryptocurrencies are highly volatile, conduct your own research before making any investment decisions. Some of the posts on this website are guest posts or paid posts that are not written by Tokenhell authors (namely Crypto Cable , Sponsored Articles and Press Release content) and the views expressed in these types of posts do not reflect the views of this website. Tokenhell is not responsible for the content, accuracy, quality, advertising, products or any other content or banners (ad space) posted on the site. Read full terms and conditions / disclaimer.

📰 Also read:  A Comprehensive Guide to Bitcoin Futures ETFs

Cypher

Curtis Dye

Curtis is a cryptocurrency news and analytics author with a focus on DeFi, BLockchain, CeFi, NFTs etc. He has publication skills such as SEO optimization, Wordpress, Surfer tools and aids his viewers with insights on the volatile crypto industry.

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button
Close
Skip to content