The Bitcoin price continues to drop, falling 3% and 5.5% over the last 24 hours and seven days, respectively. Even though the BTC price has been sealed in an uptrend, several fundamental and technical factors show that BTC is still bullish in the long-term
Data from CoinMarketCap and TradingView shows that the big crypto is still bullish on the longer timeframes. BTC is up 46% over the last six months and trades 112% higher than its price twelve months ago.
Traders are also highly bullish on BTC as they believe that the top is not yet in and Bitcoin’s parabolic run is still ahead of us.
“The #Bitcoin halving has historically led to much higher prices, but not instantly,” declared popular trader Jelle in a June 24 post on X.
Jelle told his over 87,900 followers to stop wondering “why it is taking so long” for the price to enter into exponential growth.
“This chart clearly shows that the current PA is nothing out of the ordinary.”
Fellow trader Yoddha believes that the “bull marker is not over.” In a June 24 post on the X social media platform, the trader advised his followers not to concentrate on the price action on the lower timeframes but to “zoom out” and see that BTC is still range-bound/
From a technical point of view, Bitcoin’s price has been on an extended downtrend since June 6, losing 15% of its value to the current level.
Over the same period, the daily relative strength index (RSI) dropped from 55 to 27, and the price dropped to the oversold region, as shown in the chart below. This means that the downtrend is running out of steam. The sellers will soon run out of BTC to sell, and the buyers will take an opportunity to buy more on the dips.
If this happens, the price is likely to rise from the current levels to reclaim $61,000 and then re-hit the 200-day exponential moving average (EMA) at $64,205.
Such a move would pull the price out of the downtrend and above the descending trendline. The next line of resistance would arise from the $65,500 to $66,200 supplier congestion zone, where the 50-day and 100-day EMAs currently sit.
Conversely, if the sell-off continues, BTC may drop further toward the $60,000 psychological level. Breaching this level will spell doom for the pioneer cryptocurrency bringing the range lows at $56,500 into the picture.