Bitcoin price is consolidating among major hurdles. However, it shows no signs of moving yet. According to Bitcoin forecaster Akash Girimath, the ongoing move will likely be rejected. The analyst says it is possible that this rejection could result in a steep correction that could revisit the levels seen almost a month ago. We have prepared Akash Girimath’s analysis for our readers.
Bitcoin forecast: BTC price at a crossroads
BTC price has been hovering in the range of $17,578 to $21,707 since June 21. An attempt to exit this consolidation on July 7 was rejected at the hands of the 30-day Exponential Moving Average (EMA). Later it also failed. This EMA has prevented the Bitcoin price from rising for about 100 days. He was consistent in doing so. The final rejection on July 8 resulted in a 16% drop that eventually created a double bottom.
The area of $18,600 to $19,252 formed a foundation created by the W-bottom. This formation triggered a 10% rise to retest the weekly open at $20,845, where BTC is currently facing a hurdle.
cryptocoin.com As you follow, Bitcoin price is around $ 20,647. Investors are trying to predict where the leading crypto will go next. Based on its three-month history and six rejections, bullish prospects are futile until BTC turns the 30-day EMA into a support base. BTC’s weekly opening price is $20,845 and the bottom of the liquidity pool is $18,600. For now, BTC is likely to continue trading between these two.
Bitcoin bull purchases
Assuming bitcoin price manages to flip the 30-day EMA to $21,596, it would open the possibility of a 13% gain. However, even this bullish outlook has a probability of a successful flip of the 200-week Simple Moving Average (SMA) at $22,569.
If buyers manage to overcome these high prices, investors can expect Bitcoin price to return to the average at $24.657. This level is the midpoint of the 44% collapse that pushed Bitcoin price from $31,737 to $17,578 due to the Terra (LUNA) debacle. However, in some cases, it is possible for Bitcoin to revisit the May 12 low at $25,401.
Bitcoin bear purchases
From a historical perspective, the 200-week SMA has been significant. It shows that sellers are in control as bitcoin price turns this support level into a resistance barrier. Also, the recent retest led to a rejection. This added more credibility to the fact of the decline.
Therefore, even if BTC manages to slice the 30-day EMA, it is unlikely to overcome the 200-week SMA at a time of net recession threats. The US CPI, which reached 9.1%, is further confirmation that the global economy is just one step away from collapsing. Therefore, the likely outcome for Bitcoin would be a drop to the liquidity pool of $18,600 to $19,252. A sweep of the lower range from $17,592 will follow.
Concluding thoughts for bitcoin prediction
If one were to pick a side, the possibility of further declines in Bitcoin price is more plausible and likely than BTC’s second attempt to overcome the 200-week SMA at $22,559. The rejection of the weekly open at $20,845 followed by sweeping the low range of $17,578 indicates that range moves are in play.
However, a daily candlestick near $17,578 suggests that the bears have bigger plans. Investors should not forget this. In such a case, it is possible for Bitcoin to drop further. Also, it is likely to revisit the $15.551 support level.
