analysis of the bull market retracement
The post analysis of the bull market retracement appeared on BitcoinEthereumNews.com.
Bitcoin remains a key player in the cryptocurrency market, even while experiencing a phase of correction typical of bull cycles. In recent days, the price has dropped by more than 5%, moving from record levels to a valuation of 116,800 dollars. This dynamic does not represent a structural weakness, but rather a physiological movement driven by profit-taking after the sustained rises that have characterized recent months. Market retracement and consolidation for Bitcoin The recent retreat of Bitcoin is interpreted by analysts as a classic phase of pullback from bull market. The price has moved away from the all-time highs, testing the threshold of 111,960 dollars, already identified last May 22 as a key breakout point upwards. This occurrence shows how the market tends to retrace its own technical breakdowns before triggering new, more sustained rallies. During 2024, similar situations have already occurred: just think of the drop from 100,000 to 75,000 dollars, followed by a vigorous recovery. Currently, the technical picture remains positively set as long as the price stays within the ascending channel on the daily chart. Technical indicators: momentum and signals of possible recovery The analysis of the hourly chart of Bitcoin reveals a pronounced decline, with prices below the Ichimoku cloud — indicating a short-term bear momentum. However, there is also an observation of an RSI (Relative Strength Index) that has plummeted below the 30 mark, identifying a condition of intense oversold, in stark contrast to the bull excess recorded just the previous day. This configuration leaves room for hypotheses of a sudden rebound, especially in the event of a break of the descending trendline. If this potential reversal were to materialize, Bitcoin prices would have an open field towards new all-time highs. “`html { “lineWidth”: 2, “lineType”: 0, “chartType”: “candlesticks”, “fontColor”: “rgb(106, 109, 120)”, “gridLineColor”: “rgba(242,…
