The post Bitcoin Breaks Above $44,000: Here Are the Two Possible Scenarios One Can Expect in the Coming Days appeared first on Coinpedia Fintech News

The Bitcoin price has experienced extreme compression in the past few days, which was expected to trigger a massive price action. With the beginning of the fresh trading day, the price surged above the consolidation, indicating the bulls have arisen back in action. However, the jump cannot be considered a rise above the bearish level, but if the bulls manage to propel the price above certain levels, it may reach the higher targets. 

Now that the BTC price has displayed some strength, will it continue rising at the same pace and reach $45,000? Or, by facing a rejection, will the crypto trap the bulls close to the pivotal resistance again?

The current breakout could be a result of a major volatility squeeze pointed out a couple of days ago. This could further ignite a $10,000 price rise in the value, where the token may not revisit the level of $43,000. On the other hand, this breakout may also be a minor fakeout, where the price may witness a marginal pullback below $40,000 before the real volatility squeeze begins. While the current trade set-up indicates the market participants could be preparing for the latter scenario, the former case may also be expected.

Besides, the bullish volume appears to be coiling up, which may keep up the momentum of the rally to a large extent. The RSI is incremental but also carries the possibility of a bearish divergence. Therefore, until the Bitcoin (BTC) price achieves the crucial resistance at $44,800 or above, traders may expect a bearish pullback, with the bulls being trapped again at higher levels. However, a rise beyond these levels may validate a move beyond $45,000, which may further certify the beginning of a fresh bullish trend. 

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Filed under: Bitcoin - @ February 8, 2024 6:23 am