The bitcoin price on Friday continued to trade within a sideways channel formation after bouncing off the trendline support at $18,595 earlier in the week. The BTC/USD momentarily spiked to retest the trendline resistance at $20,282 on Monday.
The price of the pioneer cryptocurrency now appears to be pegged just below the 100-hour moving average line in the 60-min chart. As a result, the BTC/USD seems to be under pressure to move lower in the coming days.
Bitcoin Price Fundamentals Overview
From a fundamental perspective, bitcoin is trading at the back of a relatively busy period in the global markets. This week, inflation data from most parts of Europe and the US came in higher than expected. However, it was backed by stronger gross domestic data from leading economies, thus returning some optimism in the market. Meanwhile, the world’s largest public HODLer MicroStrategy on Friday announced the expansion of its crypto strategy after hiring a blockchain engineer to help the company diversify its portfolio.
The announcement also comes at a time when venture capital firms and web3-focused companies are seeking to cut their investment in the digital currencies space. Meta Platforms, the company spearheading the metaverse campaign, a segment of web3 that encompasses gaming, virtual worlds and cryptocurrencies announced a hiring freeze whilst also communicating plans for a potential restructuring.
Bitcoin Price Technical Analysis (the 60-min Chart)
Technically, the price of bitcoin seems to be trading within a sideways channel formation in the 60-min chart. This indicates a lack of clear directional bias in the market sentiment.
Therefore, the bears will be targeting short-term profits at about $18,973 or lower at $18,595. On the other hand, the bulls will be looking to pounce on profits at about $19,779 or higher at $20,282.
Bitcoin Price Technical Analysis (the Daily Chart)
In the daily chart, the bitcoin price seems to be trading within a descending channel formation. This indicates a significant long-term bearish bias in the market sentiment.
Therefore, the bears will be looking to extend the current run of declines toward $17,647 or lower to $15,263. On the other hand, the bulls will look to pounce on rebounds at about $21,521 or higher at $24,005.