Bitcoin Price Prediction: Bearish Pattern Hints Extended Correction
The BTC price sustainability above the recently breached channel should bolster further rally. A breakdown below the new support trendline could trigger a fresh correction in the BTC. The intraday trading volume in Bitcoin is $16.3 Billion, indicating a 46% gain.
Source- Tradingview
The ongoing recovery in Bitcoin price started to show a waning bullish momentum as the buyers struggled to surpass the $38,000 barrier. The overhead supply has led to a sideways action, projecting no initiation from buyers or sellers.
However, this consolidation respects two diverging trendlines, indicating the formation of an expanding channel pattern. With an intraday gain of 2.4%, the coin price rebounded from the pattern’s lower trendline to a current trading value of $36,600.
In theory, this chart pattern is a sign of increasing uncertainty as prices make larger swings. Under the influence of rising selling pressure, the BTC price would likely break below the lower timeline, which would pave the way for extended correction. The post-breakdown rally would likely tumble the BTC price 7% down to hit $33,400
8,000 Bitcoin Withdrawn from Binance Exchange
In a recent post on the X platform, the crypto analyst James V. Straten highlighted that the Binance exchange has seen a significant outflow of about 8,000 Bitcoins, valued at around $288 million, following CEO Changpeng Zhao’s admission of guilt to money laundering charges. In just 12 hours, the exchange’s Bitcoin balance dropped from 665,000 to 657,000, which is Almost 100k coins left since June at around $750. This development reflects the shaken trust in the exchange’s ability to securely handle large cryptocurrency volumes
- Exponential Moving Average: The 20-day EMA slope continues to offer dynamic support to asset buyers.
- Relative Strength Index: the daily RSI slope drops below 60% to accentuate the weakening of the bullish momentum.
Hot Take
Bitcoin’s price prediction signals an extended correction, especially with the formation of an expanding channel pattern. Additionally, the significant outflow of 8,000 Bitcoins from the Binance Exchange reflects a lack of trust in the exchange’s ability to handle large cryptocurrency volumes. This could further influence Bitcoin’s price behavior in the near future, creating more uncertainty in the market.
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