Analysts began to widely anticipate Bitcoin due to increased volatility after a recent pace of up to $7,500, which followed by a full rebound. Despite these expectations, BTC remains stuck within the $7,200 zone as it struggles to reach momentum.
Analysts now point out that the cryptocurrency may currently be at a critical junction that will determine the direction in the coming weeks and months in which BTC appears to be trapped within a narrow commercial channel.
Bitcoin caught in the ascending channel as analysts move towards the next big move
At the time of writing, Bitcoin is trading at just under 1% at its current price of $7,275, which expands to the side trade that it had been experiencing during the past week.
Earlier this week, BTC achieved a sharp and decisive increase, sending its price up to $7,500 on major trading platforms such as BitMEX. Although the inability to maintain this momentum led to the withdrawal of all these benefits.
The candle wick resulting from this movement indicates that the average region of $7,000 is a strong resistance level for cryptocurrencies. Many analysts expect new short-term losses for cryptocurrencies.
Despite this, BTC can remain stable within a narrow commercial channel, which can create strong retention in the short term.
Analyst: BTC Could Be Nearing a Critical Junction
To the extent that this channel can lead the price of Bitcoin, an analyst is not seeing BTC close in the next few hours. Where it could provide important information about the next important one, since it currently has a “turning point.”
“$ BTC: The critical union here is based on the result of the next 1H closing. Close and I will look down for a long time and I think we will be heading south. It seems like rejection at this moment. It’s… Let’s see, explained Hornhair, a popular cryptocurrency analyst on Twitter.
The trading period next weekend can clarify whether Bitcoin can increase slightly and end the year with a higher note, or if the current downtrend will extend to the new year.