BTC threatens to break its range from below
It has been almost a month since the price of Bitcoin (BTC) has failed to rise above the $32,000. An important resistance level which unfortunately seems to be pushing the price back towards a new low. A new fall to come on the cryptocurrencies ?
Figure 1: Bitcoin h4 price chart
If the medium to $29,000 comes to yield again at the close in the next few hours, there will be a strong risk that the price will go back towards the $25,960 (height of the pattern transferred to the place of its break). It will therefore imperatively be necessary for the price to rebound on its support, as it had done systematically during previous tests in the past.
Since the range is trending up in a rising wedge, there are still more probabilities for a breakout to the downside. To become bullish again in the short term, the price of BTC would have to go back above its resistance at $32,000.
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Ether (ETH) must hold its support
Regarding the price of Ether (ETH), it will imperatively have to hold its horizontal support at $1,730 at the close (last low point), otherwise the fall could largely continue towards a new low point.
Figure 2: Ether price chart (h4)
As a reminder, theEther always evolves in a descending widening bevel. A chart pattern that normally ends in a bullish exit, but since the Bitcoin seems bearish, there is a significant risk that the price of ETH will retest the bottom of its pattern towards $1,530. Then, it will imperatively be necessary to rebound, to avoid going much lower, in the direction of the bearish breakout objective at $1,322 about.
To reverse this short-term downward trend, it would in any case be necessary to go back above the $2,000which for the moment seems to be compromised.
The cryptocurrencies are still bearish in the short term and will not reverse the trend until they break through their resistors respective. In the current context, a continuation of their decline seems to be preferred.
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Chart sources: TradingView
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