In the conclusion of the previous Bitcoin price technical analysis And Here Comes the Rebound, I stated that the current relief rally in Bitcoin will fizzle out very soon and that the market participants should be prepared to create short positions. We have seen this happen in yesterday’s trading session where attempts made by the bulls to scale higher were undone by profit booking and renewed selling pressure.
Bitcoin is currently trading flat at $224, after racing to an intraday high of $231.09 and is now expected to trend lower in the coming sessions.
Bitcoin will witness a greater selling pressure in the coming sessions, and that is also indicated by the latest technical considerations.
Bitcoin Chart Structure – The bulls have failed at violating the lower top, lower bottom structure, which confirms that the bears are waiting on the sidelines to come into action on attractive levels.
Moving Averages – The 30-day SMA of $257.5093 is fast inching towards the 200-day SMA of $250.5519. If the 30-day SMA crosses the 200-day SMA on the downside, it