Bitcoin looking for direction, will $24k end up falling? (BTC price analysis)

The price of Bitcoin has been consolidating between $20,000 and $24,000 for the past few months after a rapid plunge from the $30,000 level. The $17,000 to $20,000 support area has held up well, pushing the cryptocurrency above the $24,000 resistance on several occasions, but has so far failed to overcome it.

technical analysis

go through: Edris

daily chart

Currently, price action suggests that Bitcoin may eventually surpass this important level, which could pave the way for a rally to the $30,000 supply zone. The 100-day moving average is currently at the $26,000 mark and may provide some resistance. Conversely, in the event of a bearish pullback, the 50-day moving average (currently at $21,000) could act as support.

Bitcoin Price Chart 0608
Source: TradingView

4 hour graph

On the 4-hour time frame, the price continues to attempt to push the bearish flag higher after being rejected for the third time to the downside. However, a smaller bullish flag appears to be forming and the price is currently surpassing it. The sign is a continuation pattern, and a bullish breakout from the bullish sign could trigger another rally towards the higher trendline of the larger pattern.

The price may break through it. In addition, the RSI indicator is still oscillating around 50%. This shows that both bears and bulls are in control and the momentum is in balance. The outlook could change after the weekend.

Bitcoin Price Chart 0608
Source: TradingView

On-chain analysis

go through sandstone

Source: CryptoQuant

The market seems to be looking for direction, but the big players are stagnating. Following Powell’s speech last week and the Federal Reserve’s decision to raise interest rates, Bitcoin’s price surged above its “real price,” a key threshold for maintaining the price.

Therefore, to break out of the realized price level again, more volume and significant selling pressure will be required. The MVRV indicator makes it easier to track Bitcoin price relative to its realized value. It shows how the cryptocurrency surged from undervalued territory last week. However, despite the rapid surge from the indicated area, the 365-day moving average shows room for another big swing based on the previous cycle.

Therefore, given the current dislocation and uncertainty in the market and the current recessionary state of the global economy, another decline is likely before a major bull run.

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Cryptocurrency Charts Via transaction view.

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