Bitcoin Price Analysis: Navigating a Bearish Autumn
On August 9, our comprehensive analysis of the long-term BTC/USD chart highlighted a pivotal moment for Bitcoin, which appears to be navigating within two distinct channels:
1. A bullish channel, depicted in blue, that emerged in 2023 amidst favorable speculation regarding Bitcoin ETF approvals.
2. A bearish channel, illustrated in red, which began to materialize in March 2024, following the actualization of the Bitcoin ETF approval on January 11, leading to Bitcoin achieving an all-time high.
The question at hand is: which trajectory has Bitcoin’s price adopted?
Current examinations of the BTC/USD chart suggest that bearish indicators have become increasingly persuasive:
– Since the date of our last assessment, efforts to re-enter the bullish channel have been intermittent and lack the momentum necessary for a sustained rebound.
– Furthermore, the price exhibits a noteworthy inclination towards the median line of the descending channel, as highlighted by the red oval, thus affirming the significance of this trend.
– An attempt to regain upward momentum on August 23 encountered resistance at the psychologically important threshold of $65,000, as denoted by the accompanying arrow.
The decline observed in BTC/USD towards the end of August has been exacerbated by Binance’s decision to suspend accounts connected to Palestinian military entities. This event has further tarnished Bitcoin’s reputation as a decentralized and anonymous currency.
Given these circumstances, it is prudent to anticipate a bearish trend this autumn, marked by diminishing strength among buyers in the BTC/USD market. There exists a possibility that by year’s end, Bitcoin may trend downward towards the $50,000 level.
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