Bitcoin is trading once again below $40,000. Price moved to new higher highs today relative to yesterday's trading range. However bulls were unable to keep price above $40,000 for long. Price is again under pressure and the channel boundaries are being challenged.
Blue lines- upward sloping channel
Bitcoin is near the lower channel boundary. Failure to hold above $38,000 would be a sign of weakness and new selling could arise. Bitcoin will then be vulnerable to a move towards $30,000. If bulls manage to defend $38,000-$39,000 we could see another attempt to reach the upper channel boundary near $50,000. Trend in Bitcoin is unclear over the last few months as price is mostly moving sideways.
