Bitcoin is currently setting up for a rejection at resistance. Check out the latest reports about the price of the most important digital asset out there.
Bitcoin new price prediction is out
According to crypto strategist Benjamin Cowen, Bitcoin (BTC) is expected to experience a downward trend for several months after testing a crucial price range.
Cowen, who has 787,000 YouTube subscribers, predicts that Bitcoin’s short-term movement will likely be upward, but it will subsequently decline, confirming the bearish trend.
The trader explains that the bull market support band, which is made up of the 20-week simple moving average (SMA) at $27,888 and the 21-week exponential moving average (EMA) at $27,227, is what contributes to this trend.
Cowen said the following:
“A lot of the bulls don’t necessarily believe that it’s over. And why should they? Technically, there hasn’t been a lower low put in yet, so there is still reason for them to believe. Although, I still think this low will be taken out.”
He continued and said the following:
“The bulls are giving it another chance. They’re giving it another go. And they’re going to find out whether they can break through it or not. If they cannot break through, if we spend a week or two and the bulls cannot break through, then what’s more likely to happen is this likely just fades back down and puts in a lower low [around $22,890] and then eventually they’ll try again.”
Based on Cowen’s analysis, Bitcoin is expected to experience a brief surge to the $28,000 price range before returning to its downward trend and dropping below $20,000.
However, Cowen predicts that Bitcoin could eventually surpass this trend and create a more sustained bull market, leading to even higher prices.
To confirm an overall upward trend, Bitcoin must not only break above the bull market support band but also remain above it convincingly.
In the short term, Cowen believes that rejections by the bull market support band are more likely, and even if Bitcoin surpasses it, multiple consecutive weekly closes above the band are needed for it to truly signify a positive trend.
“That’s the hard part.”
