Bitcoin (BTC) price trades at Make-or-Break Resistance

After hitting a new annual high of $44,730 on December 8, the price of Bitcoin (BTC) fell slightly.

BTC price faces a long-term horizontal and fib resistance level, it has moved above and below several times. Can BTC recover?

Bitcoin tries to regain resistance.

In the technical analysis of the weekly time frame, Bitcoin experienced the highest growth since October, reaching a new annual high of $44,730 on December 8. The upward movement is characterized by eight consecutive bullish weekly candlesticks, identified by pushing the price above the critical horizontal and Fibonacci resistance. Zone.

The momentum changed last week as Bitcoin saw its first latent weekly candlestick formation since the start of the uptrend. Then, this drop resulted in a drop below a key resistance level, which could be a breakout violation.

However, BTC seems to have found its footing again, and is trying to find this horizontal level (red circle).

Traders often use the Relative Strength Index (RSI) as a bullish indicator to assess whether the market is overbought or oversold to aid in decisions to buy or sell an asset.

An RSI reading above 50 and an upward trend supports the bulls, while a reading below 50 indicates the opposite. Currently, the RSI remains above 50 and in overbought territory.

Although it experienced a slight decline, it did not break below the 70 threshold, which is considered a bearish signal.

What do analysts say?

Cryptocurrency traders and analysts at X have a mixed view of future BTC trends.

It indicates that the short-term trend of income sharks is weak. He tweeted:

Quick short, easy loss of value. They call you shorting this stupid but they tell you to keep all your money on $SOL with a token called $BONER.

Because of half the narrative, TATrader suggests that the price could reach $60,000 before Alan returns to $50,000.

Finally, Trader Tim used a horizontal range to predict that the price of BTC will soon rise above $45,000.

BTC Price Prediction: Is The Price Still Correcting?

Technical analysts use Elliott Wave theory to identify recurring long-term price patterns and investor sentiment, helping to determine trend directions.

The most predictable count suggests that BTC has started wave four in the massive five-wave up move (white) that began in September. The sub-wave count (black) shows the extended wave three.

A summary of wave three suggests a significant bearish divergence in the daily RSI, with a decline in momentum coinciding with an increase in price and often preceding downward moves. BTC price trading in an ascending parallel channel supports this.

As a result, the initial goal of completing wave four with minimal support is $40,300, a 9% reduction from the current price. After that, BTC price is expected to start another upward movement and complete wave five.

Despite the short-term BTC price forecast, breaking out of the channel means wave four is over and will trigger a 15% rise to the next resistance at $50,000.

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