Bitcoin Price Update: BTC/USD

• Bitcoin price is heading lower after the second leg of the rally created a local top at $41,341 on June 15.
• The retracement could continue to head lower and dip into the buy zone of the second upswing — $36,037 to $37,177.
• Expecting a strong reaction from the bulls after sweeping the swing low formed at $34,783 on June 13.

Bitcoin price has progressed quite a lot since the last update.

Our idea on TradingView was taken down due to a violation of House Rules. Here’s the before and after of the idea.

Before

BTC/USD 4-hour chart

After

BTC/USD 4-hour chart

Before we get into the current state of the Bitcoin price, let’s take a look at what changed.

• For starters, I was expecting BTC to test the $42,000 level and breach it after a brief period of consolidation.
• While BTC came very close to testing it, the flagship cryptocurrency did not dip into the buy zone before heading higher.
• This could be a reason, why Bitcoin price failed to test and why it is head lower than anticipated.

What to expect?

1. To oversimplify it, since the buy zone of the 1st leg up — $31,025 to $33,854 (~24%) was not tapped on the retracement, the 2nd leg-up did not have enough momentum and couldn’t hold its ground.
2. The 2nd rally ranges from $34,630 to $41,341.
3. Bitcoin price is likely to dip into the buy zone of the 2nd upswing, ranging from $36,037 to $37,177.

BTC/USD 1-hour chart

The not-so-good scenario, but NOT a bearish one

• If we are being optimistic, after a dip into the 2nd rally’s buy zone, BTC price could rally to retest the 200-DMA at $42,804.
• However, if things take a turn for the worse, BTC will slice through the 2nd buy zone like a hot knife through a block of butter.
• If this were to happen, Bitcoin price will likely sweep the range low — $34,630 before heading higher.
• If the panic sets in and buyers fail to backstop the bleeding, it is likely, a revisit to $31,000 or May 19 lows at $29,990 would occur.

In case, anybody wanted a 4-hour chart.

BTC/USD 4-hour chart

Fin.

Check out this article on how one might position themselves(at least for ETH) if BTC revisits $31,000.

Disclaimer: This is NOT financial/investment advice.

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