Bitcoin price’s range-bound consolidation for nearly a fortnight has raised many concerns over the upcoming rally. A quarterly close above the lower support at $19,800 could be important to keep up the bullish momentum ahead. However, all the buying pressure may get absorbed here paving the way for the bears to slash the price to form new lows.
The BTC price after the recent rejection has again reached the same lower support levels. This can be considered as a bearish confirmation resulting in new lows. However, the asset has made a rebound above $21,500 a couple of times before. But the trend may not repeat this time as the whales reportedly pushed the price up to sell higher. On the other hand, the bulls remained calm.
Therefore, even if the BTC price sustains above $20,000, a huge sell-off is imminent with the beginning of the Q3 trade.
Here Are the Bitcoin Bottoms for the Current Bear Cycle
The BTC price has been extremely bearish ever since the beginning of the May trade. The star crypto formed a huge bearish flag and dropped nearly 30% in May. A similar pattern was repeated in June which dragged the price by more than 40%. While it was believed that the bottoms may be in, yet another huge drop is on its way.
Firstly, Bitcoin is all set to break down by another 30% as it is currently swinging within another bearish flag. And hence an inverse price action may drag the price too as low as $10,000. Secondly, the asset is unable to respect the upper resistance close to $22,000 as it is constantly getting attracted to the crucial support zone between $20,200 and $19,900.
Hence, as predicted by a popular analyst, the BTC price may form the bottom close to $16,200 in the first few days of July.
Here reaching these levels, the bulls or the whales may grab a huge market share as the weaker hands may have washed off their holdings. In such a case, the Bitcoin(BTC) prices may rebound notably uplifting the crypto space. Or the markets may become insolvent as many platforms are already facing a liquidity issue after the LUNA-UST crash.