As Bitcoin attracts global attention, the eyes of investors and traders are fixed on its price movements. At present, Bitcoin (BTC) faces a significant challenge with double top resistance at the $31,000 level. In the past, this resistance proved to be a formidable barrier, sparking concerns about a potential bearish correction looming on the horizon. In this Bitcoin price prediction, we will delve into the technical analysis of Bitcoin to determine if the double top resistance will hold or if Bitcoin will break through and maintain its upward momentum.
Currently, the price of Bitcoin stands at $30,273, with a 24-hour trading volume of $16.4 billion. Over the past day, Bitcoin’s price has seen a slight dip of approximately 1%. Holding the top rank on CoinMarketCap, Bitcoin has a live market capitalization of $587 billion. The circulating supply amounts to 19,412,850 BTC coins, with a maximum supply capped at 21,000,000 BTC coins.
In the daily chart, BTC/USD is encountering substantial resistance close to the $31,000 mark, reinforced by a double-top pattern. The presence of doji and spinning top candles, alongside this resistance level, indicates weakening in bullish sentiment and exhaustion among buyers. As a result, there could be a minor correction in Bitcoin’s price.
It is essential to note that the immediate support can be found at around $29,600. A break below this support level may lead to further downward movement, targeting key support at $28,250, which coincides with the 50-day exponential moving average. If the price falls below $28,200, the next support is likely to be around $26,750.
Examining the relative strength index (RSI) and the moving average convergence divergence (MACD), both indicators are in the neutral zone, signifying that Bitcoin is neither overbought nor oversold. This supports the possibility of a corrective move in the near future.
On the flip side, if Bitcoin successfully breaks above the $31,000 level, the next target to watch is around $32,500. Should the momentum continue, a subsequent target may be achievable around $34,000.
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Source: Cryptonews
