Bitcoin Price Forecast: What Next For BTC If Bulls Secure This Crucial Support?

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Published 01 Jul, 2021 | 04:11:32 AM UTC

Bitcoin Price Forecast: What Next For BTC If Bulls Secure This Crucial Support?

Bitcoin price retests support at $34,000 after rejection at $36,000.
The transaction history model reveals robust support roughly at $34,000.

Bitcoin price deals with an influx of selling orders on Thursday and toward the end of the Asian session. The recent rejection from slightly above $36,000 saw overhead pressure hover continuously while BTC sort higher support.

When writing, the pioneer cryptocurrency trades at $34,250 while dancing between two critical technical levels; the 50 Simple Moving Average (SMA) support and the 100 SMA resistance in the four-hour timeframe.

Bitcoin Price To Resume The Uptrend On Holding Key Support

The short-term technical outlook is bearish based on the Moving Average Convergence Divergence (MACD) indicator. This technical indicator follows the trend of an asset and calculates its momentum.

Last week, the MACD sent a bullish signal as the 12-day exponential moving average crossed above the 26-day exponential moving average. The bullish outlook was later affirmed by the MACD crossing above the zero line and into the positive region, a situation that saw Bitcoin price lift beyond $36,000.

Meanwhile, a bearish signal has been flashed after the above-moving averages switched positions. Besides, the indicator is heading toward the zero line, which emphasizes the hovering overhead pressure.

BTC/USD four-hour chart

BTC/USD price chart by Tradingview

Despite the short-term technical picture being bearish, Bitcoin is anticipating numerous support levels, starting with the 50 SMA, holding at $34,000. The In/Out of the Money Around Price (IOMAP) on-chain metric by IntoTheBlock reveals that the region between $33,247 and $34,256 is a substantial support zone.

Bitcoin IOMAP model

Bitcoin IOMAP chart by IntoTheBlock

On the upside, the resistance levels continue to weaken, which means that Bitcoin may eventually lift toward $40,000 in the near term. However, the support levels mentioned must be defended at all costs.

Bitcoin intraday levels

Spot rate: $34,250

Trend: Bearish bias

Volatility: Low

Support: $34,000

Resistance: $36,000

John Isige

John is a seasoned crypto expert, renowned for his in-depth analysis and accurate price predictions in the digital asset market. As the Price Prediction Editor for Market Content at CoinGape Media, he is dedicated to delivering valuable insights on price trends and market forecasts. With his extensive experience in the crypto sphere, John has honed his skills in understanding on-chain data analytics, Non-Fungible Tokens (NFTs), Decentralized Finance (DeFi), Centralized Finance (CeFi), and the dynamic metaverse landscape. Through his steadfast reporting, John keeps his audience informed and equipped to navigate the ever-changing crypto market.

Published by

John Isige

Published 01 Jul, 2021 | 04:11:32 AM

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