Bitcoin (BTC) faced downward pressure over the weekend as the market approached the July 23 candle close. The price of BTC was struggling to stay above $30,000, which is now acting as intraday resistance. Traders were concerned about the possibility of further downward movement in the market.
Crypto Tony, a popular trader, warned his Twitter followers about the current situation of Bitcoin, noting a double top rejection on the BTC chart. He emphasized the importance of key psychological levels, specifically $25,000 and $20,000, and recommended keeping an eye on these levels in case of a drop in price.
Another trader and analyst, Nebraskan Gooner, also expressed the likelihood of downward price action for BTC, as it had fallen below the narrow range that had been in play for the past month. This suggested that the market could experience more downside movement.
While some traders were waiting for volatility to return to the market, they were uncertain whether Bitcoin would break out or break down to test levels seen earlier in the year. Toni Ghinea, a popular trader and analyst, anticipated a significant move for BTC in the coming week and highlighted key resistance and support levels to watch. He cautioned against getting too euphoric if there is a break above the range high, as the next key area would be around 27-28k. If BTC breaks lower than that, the possibility of reaching levels between 19-23k is still on the cards.
In addition to the market dynamics, the upcoming week was expected to bring potential volatility indicators as market participants digested macroeconomic policy cues. The Federal Open Market Committee (FOMC) of the United States Federal Reserve was scheduled to meet to decide on interest rates, and the outcome of this meeting could have an impact on Bitcoin’s monthly close. Market sentiment indicated a high probability of a return to rate hikes this month.
It is important to note that this article does not provide investment advice or recommendations. Investing and trading in cryptocurrency carry risks, and individuals should conduct their own research before making any investment decisions.