Bitcoin’s price has been increasing consistently lately, continuing its bullish phase since the beginning of the year. However, the market is currently at a key resistance level, and its reaction is essential for the trend in the next few months.

Technical Analysis

By:Edris

The Daily Chart:

On the daily timeframe, the price has finally broken out of the tight consolidation range around the $28K mark, aggressively attacking the $30K resistance. This level is both a crucial psychological and technical resistance area and would likely shape the short-term future of the crypto market.

A breakout could result in a bullish continuation towards the next significant resistance zone, which is located around the $38K mark, while a rejection would lead to a drop towards the 50-day moving average located around the $26K level and even the $25K support area.

Either way, the bulls can still be optimistic while the price remains above the 200-day moving average, which is an important bull/bear market indicator.

The 4-Hour Chart:

The 4-hour chart shows that the price is struggling to break past the $30K resistance level after rebounding from the $28K support area a few days ago.

The RSI indicator also demonstrates a clear bearish divergence signal, which hints at a potential consolidation or correction in the short term.

In this case, the $28K level could once more be counted on to hold the price, while the $25K area might also be retested in case of a deeper correction. All in all, there is no shortage of support levels, and the bulls could finally relax after almost a year of a gruesome bearish market environment.

On-chain Analysis

By: Edris

Bitcoin Short-Term Holders SOPR

Bitcoin’s price has been constantly rising, and many investors who bought