Bitcoin is trading above $38,000 approaching the resistance by the upper channel boundary. Price remains inside the bearish channel from its all time highs. We continue to consider this bounce as a counter trend move as we believe the most probable scenario is for price to make at least one more new lower low.
Blue lines - bearish channel
As long as Bitcoin is below the red rectangle horizontal resistance, we remain short-term bearish. Bulls will need to break above $41,000 in order to reclaim control of the short-term trend. Price is now challenging key short-term resistance. I believe the most probable scenario is for price to get rejected and make new lower lows. Our view remains bearish.
