Back at the bottom of the range, Bitcoin (BTC) and Ether (ETH) are resuming a dangerous bearish dynamic that could lead to a further fall in cryptocurrencies in the coming days if they fail to bounce back. The update on the scenario and the next objectives seem to be looming.
Bitcoin is testing the bottom of its range again
While it is still trading in its range between $ 18,600 and $ 25,000 since June, the price of Bitcoin (BTC) is struggling to recover and is once again on its daily support.
Will this level, which had already allowed the price to rebound four times in the past, once again allow BTC to regain upward momentum?
Despite a rather timid rebound attempt this week, our analysis from two weeks ago has not changed. The price did not manage to pass the middle of the range during its last attempt and the rejection on this level is all the more relevant as it also corresponds to multiple resistances characterized by the low trendline of a Bear Flag / Ascendant Bevel as well as the Ichimoku cloud.
Suffice to say that this rejection on the $ 22,000 is not a good sign since it has made it possible to get the cash available on this level and to liquidate the early shorts, which could give enough strength to the sellers to go down much lower now, towards the $ 16,130 (objective of breaking the Ascendant Bevel), then $14,400 if the $16,000 level gives way (Bear Flag break target).
The bearish scenario, therefore, seems to be preferred, reinforced by the Chikou Span freed from any obstacle, confirming the bearish configuration as long as it is below the prices and under the various curves of the Ichimoku system. To invalidate this bearish scenario already well underway, it will absolutely be necessary that the price manages to break the top of the range around $ 25 00 0. In the meantime, everything is a barrier to the price and the next few days promise to be both decisive and perilous.
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Ethereum (ETH) returns to the danger zone
Since The Merge, the price of Ethereum (ETH) has only fallen. Our latest analysis projecting a return of the price around $ 762 seems to be confirmed, with the break of this Bevel affirmed in particular by the Chikou Span under resistance.
Like BTC, ETH has therefore not managed to break its range between $1,000 and $2,000 from the top. The price is back below the middle of the range so it is a dangerous area in which the price will absolutely have to bounce back if buyers want to avoid seeing the cryptocurrency go back below $ 1,000.
For the moment, the configuration remains largely bearish with the price forming an “M” pattern, as well as a Bevel broken from the bottom. The target is $ 762 (height carried over to the place of the break) and everything stands in the way of the price here too: the low trendline, the cloud, the Kijun, and the Tenkan.
So will Ether go back below $1,000? This is in any case the objective that was triggered following the break of this pattern from below. To invalidate this bearish scenario, the price will have to break the range from the top, and therefore go back above $2,000. This seems very complicated as the economic context remains fragile.
Bitcoin and Ethereum are still clearly in a downward trend and fail to break their resistance. Bearish scenarios are to be preferred as long as prices do not manage to break their range from the top.