- Bitcoin’s bulls and bears appear to be locked within an intense battle for control over the cryptocurrency
- Bears have been gaining the upper hand over the past few weeks, as the crypto has been consistently trending downwards despite being caught within a multi-week consolidation phase
- Presently, BTC is trading just above a crucial support level that appears to be growing weaker due to it being tested on multiple occasions over the past few days
- As the benchmark cryptocurrency’s monthly close fast approaches, there are a few macro factors that suggest bears may soon have full control over it
Bitcoin and the aggregated crypto market have not been able to garner any decisive momentum despite the turbulence seen last week.
One trend that does appear to be favoring sellers is the consistent lower highs it has been setting over the past few weeks.
It first started ranging at $9,700, then hovered around $9,400, and is now trading just above its range lows at $9,000.
There are a few other trends that could determine the cryptocurrency’s macro outlook, and they all heavily favor sellers. This comes as Bitcoin’s monthly candle close looms in the coming few hours.
BITCOIN CONSOLIDATES AT $9,100 FOLLOWING LAST WEEK’S VOLATILITY
At the time of writing, Bitcoin is trading down marginally at its current price of $9,140. This is around the price level at which it has been trading over the past couple of days.
Yesterday, the crypto did attempt to climb higher but was met with insurmountable resistance within the $9,200 region.
Last week’s volatility – which sent Bitcoin to highs of $9,800 before it reeled to lows of $8,900 – did little to provide clarity into the cryptocurrency’s short-term trend.
That being said, it did work to confirm a bear-favoring “death cross” pattern that tends to flash before Bitcoin makes sharp downside movements.
One analyst spoke about this occurrence in a recent tweet, noting that it has made the crypto appear to be weak while looking towards its 4-hour chart.
Image Courtesy of Teddy. Chart via TradingView
This could cause Bitcoin to end its June candle on a low note, potentially giving rise to a downtrend throughout July.
BTC’S REJECTIONS AT $10,000 SPELL MACRO TROUBLE, CLAIMS ANALYST
In addition to forming a “death cross” heading into its monthly candle close, one analyst is also noting that the consecutive rejections posted at $10,000 over the past several weeks seems to spell trouble for what comes next.
This has led him to suspect that a test of $8,600 is imminent, with its reaction to this level providing crucial insights into Bitcoin’s mid-term trend.
“BTC HTF Update: Rejected $10,000 for the second time this year and it seems as though HTF momentum is starting to slow, expecting price just to range here for a while, which is fine as long as buyers continue to support RL… Thinking a retest of RL at $8600 region is likely,” he said.