Bitcoin outlook: bulls maintain an advantage, while bears are relatively weak
(1) The daily-level rebound is accompanied by a modest increase in trading volume, but the overall volume is still far below the annual average.
(2) Bear volume is very weak. Although bull volume has the upper hand, the price is about to reach the 0.382 Fibonacci retracement level shown in the chart below—i.e., the rebound will likely reach the prior high near 67,500.
(3) On the 4-hour timeframe, bull volume shows some weakening and there is a mild volume-price divergence, which is a potential downside risk for the next rebound.
Overall view: The rebound with increased volume appears effective, but volume momentum has not fully faded yet. The 67–68K resistance zone is likely to be tested.
My personal projection is that the BTC price will rebound to around 67,500, where there will very likely be a small pullback downward. However, the downside room is limited because bear volume is simply too weak.
(1) The daily-level rebound is accompanied by a modest increase in trading volume, but the overall volume is still far below the annual average.
(2) Bear volume is very weak. Although bull volume has the upper hand, the price is about to reach the 0.382 Fibonacci retracement level shown in the chart below—i.e., the rebound will likely reach the prior high near 67,500.
(3) On the 4-hour timeframe, bull volume shows some weakening and there is a mild volume-price divergence, which is a potential downside risk for the next rebound.
Overall view: The rebound with increased volume appears effective, but volume momentum has not fully faded yet. The 67–68K resistance zone is likely to be tested.
My personal projection is that the BTC price will rebound to around 67,500, where there will very likely be a small pullback downward. However, the downside room is limited because bear volume is simply too weak.