Bears Freeze the Levels at $44,200: Will Bitcoin (BTC) Validate a Fresh Bearish Trend?

The post Bears Freeze the Levels at $44,200: Will Bitcoin (BTC) Validate a Fresh Bearish Trend? appeared first on Coinpedia Fintech News

The Bitcoin price holds above $43,000 to $44,000 levels, indicating that it wants to test $45,000 and potentially $48,000. Meanwhile, the crypto had a small pullback as the other tokens gained more traction like Solana, Polkadot, etc. Besides, the BTC funding rates are extremely high at the moment. This suggests more traders are taking long positions and expect the price to rise in the future.

In the short term, the BTC price has been constantly testing one of the pivotal resistances but is failing to pierce through these levels. When the price is facing upward pressure to some extent, it still displays the possibility of a bullish reversal. After holding at these levels for a while, the price appears to be primed to undergo a significant pullback but remains under bullish influence.

The recent rejection from the yearly highs has raised expectations of forming a bearish pattern, which may trigger a fresh descending trend. If the price fails to rise above the crucial resistance zone between $44,147 and $44,724, then a fresh bearish reversal may begin. Further, if the price triggers a descending trend, then it may drop close to the lower crucial support at $40,000 or below.

Besides, the RSI had been maintaining an ascending trend, with the lower trend line as a support. The recent pullback caused the levels to drop below the support level, suggesting the beginning of a short-term bearish trend. Besides, the RSI is ranging close to the upper resistance, which validates the impending bearish scenario. Additionally, the BTC dominance has just faced a minor setback as attention has been shifted to other altcoins, which may hinder the progress of the rally.

Therefore, the Bitcoin (BTC) price prediction for 2023 is bullish but may face a minor pullback before initiating a massive upswing.