After enjoying a remarkable bull run that saw the $41,500 breached, Bitcoin (BTC) finds itself in a consolidation state because its upward momentum has dried up. The leading cryptocurrency has been down by 15% in the past week and is trading at $31,443 at the time of writing, according to CoinMarketCap.
Onchain and crypto analyst Cole Garner has noted that the current price correction shouldn’t raise eyebrows because BTC’s aggregate spot order book is stacked, and this is a bullish signal.
Bitcoin has been experiencing pullbacks after soaring past the $40,000 mark earlier this month. Industry experts view it as a critical point that should be shuttered for the leading cryptocurrency to regain steam.
Joseph Young, a crypto analyst and investor, has also asserted that the next stop is the $36,630 resistance level. He explained:
“Key BTC resistances: $36,630, $37,800, $40,000, $42,000. Next stop: $36,630.”
His sentiments are echoed by crypto trader Michael van de Poppe who believes that the $34,000-34,500 resistance area ought to be flipped to support. Even if this doesn’t happen, he still believes Bitcoin is in safe hands. Michael van de Poppe pointed out:
“Bitcoin has a hard time breaking the $34,000-34,500 area and therefore constructs a bearish pattern with another bearish S/R Flip. If $34,000-34,500 doesn’t flip for support, I’m assuming we’ll get such an outlook. Still very healthy.”
Bitcoin is still on the right trajectory
Crypto exchange Luno and brokerage OSL have revealed that Bitcoin has not lost track on its journey to hit $50,000 in the long-term. They, however, noted that BTC would have to square it out with gold for the best safe-haven asset.
Dan Held, a crypto analyst, also believes that BTC is still on the right trajectory because the top of the current bull run is more than 250 days away. He asserted:
“Based on previous cycles, we have another 250+ days to go until we reach the top of the Bitcoin bull run! Fall 2021 will be wild.”
Time will tell what Bitcoin has in store in 2021.
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