Bitcoin price faces a fresh rejection below $17,000 which has raised speculation of a steep descending trend below the crucial support
The bulls appear to be poised to hold the price above the lower support but may get drained out soon, dragging the prices lower
The crypto markets have turned extremely volatile and uncertain ever since the popular exchange FTX collapsed and created a ripple of fallouts. Meanwhile, Bitcoin and popular altcoins attempted to begin with a recovery phase, but the bears perceived the fact of their growing dominance despite minor bounces.
Therefore, bearish clouds continue to hover over the Bitcoin (BTC) price which may drag the price back below $16,000 in a net couple of hours!
This is Why Bitcoin(BTC) Price May Resume its Downtrend!
Bitcoin price was struggling hard to clear the resistance at $17,000 compelled the price to form a double top pattern, As a result, the rejection surfaced, diving the prices lower close to $16,400 at the moment which may be extended below $16,000 very soon.
The BTC price broke down from the rising wedge which is largely considered bearish and heading towards the lower support close to $16,300. Meanwhile, if a flip occurs above these levels, then the bulls may regain dominance and uplift the price above $16,500 which appears unlikely presently.
However, the mounted bearish sentiments and pressure are likely to drive the prices lower while the bulls may fail to hold the pivotal $16,000, hitting the levels around $15,850.
Where Will the Bitcoin form its Bottoms?
Bitcoin price ever since began to drop off its 2022 highs, has been maintaining a pattern of being rejected at certain levels. As per a popular analyst, Moustache, BTC price has been constantly rejected at the Mayer multiple lines. Hence after the recent rejection, it was proven that the price may continue to dive towards the south, testing the lower support levels.
Hence, the analyst believes that the Bitcoin (BTC) price may continue to plunge hard and reclaim the levels lower to the current support zones. Meanwhile, the bulls may also try hard to hold the price but if extreme bearish pressure mounts, the buying volume may not compensate which may propel the price lower in the next 12 to 16 hours.
Written by: Sahana Vibhute