Bitcoin (BTC) broke through $37,000 on Wall Street on January 28 as traders watched and waited for a retest of resistance.
BTC/USD hourly candlestick chart (bit mark). Source: Trading View
BTC Avoids Serious Resistance Test
Data from Cointelegraph Markets Pro and TradingView showed that BTC/USD is back in pattern after falling to $36,175 on Bitstamp earlier today.
As part of the range-limiting behavior, there was hope that momentum would continue to challenge resistance levels closer to $40,000, whether the end result was a new correction or not.
“A bearish scenario seems the most likely and that is why I think we will see a sudden move,” famous crypto trader Ed said in a commentary on the spot forecast.
“Only after a convincing $40,000 refund will I be a complete bull.”
Trader and analyst Anbesa echoed previous claims of $38,500 for a corrective phase to declare the corrective phase for Bitcoin complete.
As Cointelegraph previously reported, lower funding rates are combined with a better picture in the derivatives markets, which could lead to upward pressure over time.
On January 24, Rekt Capital highlighted an area where Bitcoin could catch up to revive the bullish trend in longer weekly periods. This will reportedly be the weekly closing price of $39,600.
“Similar positive reviews” in early 2018
However, not only Crypto Ed was afraid of a possible new collapse.
Related: “Bull or bear market?” Bitcoin Losses to Increase Due to Panic Selling in 2022
Despite the loss of liquidity during a brief drop of $33,000 earlier this week, Bitcoin has not convinced everyone that the bottom really exists.
Twitter analyst TXMC Trades discussed the matter and concluded that BTC/USD “should continue to fall” from the current spot price. History seems to support this theory.
“It doesn’t feel right for bitcoin to bleed straight out of ATH without a comfortable high, just to have a reversal ahead without a proper test of the lower range,” he said.
“Same vibes as April 2018 when there was a $6,000 bounce ahead but it ended up crashing. Just an inner feeling. “