Black line -resistance
Blue line- support trend line
Red lines- bearish channel (broken upwards)
Bitcoin tried to break above the recent high around $31,100 but we have some rejection signs. After the channel break out Bitcoin moved sharply higher towards $31,100. As we mentioned in a previous analysis, price has been consolidating below this resistance for several days. Bitcoin formed a new higher high today but bulls seem unable to maintain their gains. The RSI is turning lower from overbought levels. There are increased chances of a pull back towards $28-29,000. In order to break above the horizontal resistance of $31,100, maybe bulls need to gather some momentum first by forming a higher low.
