Summary:
Bitcoin price stabilized around $64,000 with potential risks of a dip.
Analysts warned of a Bart Simpson pattern, possibly dropping to $62K.
Key support levels to watch are $63.5K and $62.2K.
Crypto Chase cautioned about low success rates for buying after dips.
Trader Rekt Capital noted Bitcoin's return to post-halving price trends.
Bitcoin BTCUSD hovered around $64,000 as of the August 25 weekly close, with analysts cautioning that recent price gains could quickly evaporate.
BTC Price Faces Struggles to Maintain Gains
Data from Cointelegraph Markets Pro and TradingView indicated a stagnant weekend for BTCUSD after notable increases at the end of the previous Wall Street trading session. This price action followed positive signals from the U.S. Federal Reserve hinting at potential policy easing in September, marking the first interest rate cuts since 2019.
Initially slow to react, Bitcoin reached a two-week high of nearly $65,000 before retreating. Popular trader CrypNuevo expressed caution, noting that order book liquidity suggested a potential drop to support levels that could liquidate late long positions. He highlighted key levels of $63.5K and $62.2K based on the 50-period EMA on the 1-hour chart.
The 'Bart Simpson' Pattern
According to CrypNuevo, the price could form a classic âBart Simpsonâ pattern, returning to the 50-period EMAs on the 1-hour and 4-hour charts. He explained that this movement would help fill the wick, trap some breakout traders, and flush out delta liquidations through a long squeeze.
Other traders echoed similar sentiments, with Trader ELM predicting a dip to $62,700 before a potential upward trend. However, Crypto Chase cautioned that historically, buying after such dips yields a low success rate.
Key Levels to Watch
Crypto Chase suggested a breakout above $65,700 could signal bullish momentum, while a drop back to $60,000 necessitates careful observation. He advised watching price action if the $60K-$61K range is retested to decide on potential long or short positions.
Analyst Insights: Post-Halving Normalization
Zooming out, trader and analyst Rekt Capital provided an optimistic perspective. He remarked that Bitcoin is nearing a return to its post-halving reaccumulation range, underscoring the significance of this technical event.
He emphasized that Bitcoin is resynchronizing with historical post-halving price trends, suggesting that this move could set the stage for future price increases.
Note: This article does not contain investment advice. All trading involves risks and readers should conduct their own research.
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