Last week, the flagship cryptocurrency hit $24,350 again. It has been its second-time breaking through this important level so far. Both times, the price pulled back, thus showing that BTC was not strong enough to extend growth. The coin's volatility leaves much to be desired in recent weeks. But the main thing here is that bitcoin can't enter a significant correction. After a $15,000 plunge, the digital asset recovered by just $7,000 in a month and a half. The descending trendline is still relevant. This trendline is more likely to reach the current price rather than BTC to approach it. Therefore, the bearish trend is forecast to continue further. Clearly, there is always an alternative scenario. Thus, the bearish trend will end should the price settle above the trendline in the 24-hour time frame. The main condition here is that the asset should break through the barrier. Moreover, the breakout should be strong and occur after BTC leaves the sideways range, in which it has been trading in recent weeks. In addition, the cryptocurrency is near the Senkou Span B line, which is always difficult to break through, and fundamentals are still weighing on the world's number one digital coin.
Bitcoin is an asset with the price depending heavily on trader sentiment. If the Fed can influence the US stock market, and currency interventions can affect the exchange rate of any currency, then bitcoin remains decentralized. Thus, in theory, it can have any price. Since global geopolitical tensions are again on the rise, bitcoin may either show explosive growth or plummet again. Some experts say August will be a bullish month for BTC. Others expect the bearish trend to go on. In our view, bitcoin will remain at risk for as long as the Fed's rate hikes continue. Moreover, there are many other assets offering more stable and profitable investment conditions. What else is there to say if even the US stock market is now showing growth? In any case, let's see how BTC behaves near the Senkou Span B line and the trendline.
In the 24-hour time frame, BTC quotes are below the mark of $24,350. The bearish target is now seen at $12,426. Bitcoin has unsuccessfully tried to break through $18,500 (127.2% Fibonacci level) three times. Technically, the digital asset may well trade in the $5,000-10,000 range in 2022. There is a signal to sell the coin amid a pullback from $24,350. Consolidation below $18,500 will confirm the signal.
