The bitcoin price is falling back after failing to breach $70,000 as the traders appear to have turned bearish on the crypto. The price is consolidating tightly within a range, displaying minimal possibility of a breakout in the near future. However, the volatility of the token is expected to increase in the next couple of days; hence, a significant price action could also follow the rally.
What’s next with the BTC price rally? Will it close the monthly trade on a bullish note?
Bitcoin is undergoing a roller coaster rise this month in the times when the market participants have historically been bullish with the beginning of the final quarter. Nevertheless, the bears await for the price to mark higher levels but the bulls face a lack of strength. In such a situation, when the BTC options are set to expire this Friday, here is what to expect from the BTC price rally.
BTC price in the short term is holding above the 50-day EMA but has multiple wicks to the downside. The price is not progressing any further, which is a sign that the market makers are building longs at the lowest levels to reverse price break up.
The short-term trade setup suggests the price has built a conventional support zone between $68,656 and $66,806. The price is trying hard to defend the 50-day EMA and if a bounce is triggered, the price is expected to rise back to the resistance or else drop to the support at around $65,400. The levels around $69,000 have enough stop losses piled up for the shorts and hence, is the price breaks above these levels, then they tend to get liquidated.
Therefore, the price is required to break above the resistance to set up a fresh ascending trend and invalidate the possibility of rejection. However, the volume is decreasing, which validates the rejection if the Bitcoin (BTC) price rebounds and reaches above $68,800 during the weekend.
