Yo is there any chance for bitcoin to climb back above $30K again?!
BTC/USD returned most of its gains last week before pulling up from $27,200.
Since then, price has formed higher lows and higher highs inside an ascending channel formation.
Can this short-term support area keep losses in check?
Bitcoin (BTC/USD) 15-min Chart by TradingView
So far, buyers seem to be defending the floor, especially since technical indicators are hinting at bearish exhaustion.
Not only is Stochastic reflecting oversold conditions, but the 100 SMA is also above the 200 SMA to suggest that the path of least resistance is still to the upside.
In other words, there’s a good chance the short-term climb could resume and take bitcoin back up to nearby resistance levels such as the top of the channel at $28,000 or the mid-channel area of interest at $27,800.
Then again, BTC/USD has dipped below both moving averages to reveal some points in favor of bears. These indicators might even hold as dynamic resistance levels on quick rallies.
If so, bitcoin might undergo another wave of selling and tumble below the channel bottom to resume its bigger slide that started mid-April.
In that case, BTC/USD could complete a flag pattern on its longer-term time frames, pointing to a prolonged drop that’s not exactly uncommon in the crypto market.
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