Analysts Expect a Relief Rally in The Bitcoin Market
Bitcoin is currently stuck in a large range between $8,300 and $9,200. There are no clear support levels in between the range, with only these two levels acting as heavy support and resistance respectively.
Historically, anytime bitcoin sees a massive movement to either the upside or downside, it is triggered by the reaction of traders to levels of high liquidity. Most traders generally expect the bitcoin market to continue its bearish structure in the short term. But before that, some have said a relief rally is likely to happen.
A notable crypto trader, Cantering Clark has noted that there are strong support levels below $8,600 that signal a relief rally is due.
Clark tweeted that he believes there should be some relief on the market if we are able to trade back above $8,600. Adding that, a lot of commits down into the lows and yet the price is still holding down.
Another technical analyst, Josh Rager also pointed out that mega support levels for bitcoin is present at $7,900, an area with significant trading activity.
The probability of a large price movement in the upcoming week is very high. However, the response of the bitcoin market to critical levels including $7,900 and $8,300 will decide the direction of the bitcoin and crypto market in the near term.
Featured image courtesy of Shutterstock. Source: Cryptopress.