This week the price of bitcoin remained under pressure as business concerns remained, but two rare patterns point to a final overturning.
Bitcoin (BTC) waived, while crypto fear and greed index slipped into 35 fears this week. Most of the reasons for this weakness were due to the ongoing fear of trade war between the United States and its top partners.
The US has already begun to implement tariffs on Chinese goods, which can affect the amount of trade of more than $ 450 billion. While Canadian and Mexican tariffs have been stopped, there are obstacles that they will be resumed next month.
These trade jewels have created a feeling of fear among the participants of the market. Crypto Fear and Greed Index have fallen to the level of fear of 35, while the CNN money index has fallen to 39.
Bitcoin is also built on the edge as investors remain on the edge for now. The strategy stopped its bitcoin purchasing, while the coating of data indicated for weak futures open interest. Spot bitcoin ETF inflows remains about $ 57 billion, below this year’s high $ 68 billion.
The price of bitcoin also decreased due to the Federal Reserve, which pointed to more Hawkish tone in its first monetary policy meeting of the year. The bank unchanged the interest rates and indicated that it would make only two cuts this year. Bitcoins and other altcoins do well when the fed has a tilt.
Technical bitcoin indicates value rebound
The weekly chart suggests that BTC has formed two rare chart patterns that often receive adequate benefits over time. The first is a cup and handle built between November 2021 and November last year. This pattern is made of a horizontal line and a round bottom to make a cup, followed by some consolidation.
The profit is established by measuring the depth of the target cup and then measuring the same distance from the upper side of the cup. In this case, the depth is about 80%, which means that the coin will be a rebound of up to $ 123,000.
The recent consolidation of the bitcoin is part of the bullish flag pattern, with a long vertical line and a rectangle pattern. The flag pole is about 55%size. Measuring that distance from the upper side indicates a breakout of $ 166,000.
The warning of the prediction of this BTC value is that it may take time since using the weekly chart. For example, it took about three years to make the C & H pattern. For example, the price of bitcoin may take time to increase to $ 166,000.
