Bitcoin Price has been moving volatile recently, reaching its all-time high of $ 42,000 and dropping as much as $ 11,000 in just two days. Bitcoin price correction had to come at some point. The key question is, will this drop stop the impressive BTC rally? Let’s take a closer look at the BTC Price.

 

 

BTC / USD daily chart

The interesting thing here is that the Bitcoin price has increased by almost 11.3% in the last 24 hours, following a sudden drop two days ago. At the time of writing, the Bitcoin price was at $ 39,700. Now, on the daily price chart, the BTC price has touched $ 39,700, which is well above where the 26-EMA was installed. Additionally, although Bitcoin dropped below the 12-EMA and down to $ 35,000, the bulls managed to move above both the 12-EMA and 26-EMA in the next few hours.

Now, on the daily chart, all EMAs are well below the current price, and once again the bulls appear in a position of authority. The next possible resistance level could be $ 41,986.37. Above that, the next notable price point is $ 49000. However, once again, it appears that the Bitcoin price is facing little resistance on the upside and may be on its way to $ 50,000.

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But again, according to Ichimoku Cloud, when the price drops below the cloud, the trend goes down. When the price is above the cloud the trend rises. At the moment the cloud is well below the current price and is moving slightly away from the direction of the current Bitcoin price, which may be telling us that the Bitcoin price will fluctuate in the coming days, but it still looks extremely promising.

 

BTC / USD 4-hour chart

Now, if we observe the 4-hour chart of the BTC / USD price, we can see that it is somewhat reassuring. In this graph, it also shows that the Bitcoin price faces very little resistance to the upside and is on a path of $ 41k. It seems that the odds are supporting the bulls in the short and long term. Most technical indicators are still drastically upward in almost all time frames.

One thing to look at here is that, according to the Ichimoku Cloud, the cloud is currently moving slightly down from the current bitcoin price direction, which tells us that the bitcoin price may fluctuate in the next few hours.

 

Result

Currently, Bitcoin’s price could form a right shoulder pointing to a bearish trend. At 39,750 USD at the time of writing, the price can go back to the price area of ​​32,135 USD and break it downwards and only then will the collapse be confirmed. Now, buyers can help increase prices and keep them stable above the 30K psychological price area. Prices will range from $ 31,300 to $ 40,000, and it can increase the trading volume for traders in daily trading.

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