Bitcoin is trading around $78,358, undergoing a technical correction after reaching its monthly high of $79,519 during Wednesday's US trading session. Bitcoin has reached the upper band of the uptrend channel that has been forming since early April, and it is likely that Bitcoin will consolidate below this level in the coming days.
If Bitcoin attempts to break above the $79,500 zone in the coming hours and is rejected, this could be seen as an opportunity to sell below this zone, as technically, overbought levels are observed.
If Bitcoin falls below the 5/8 Murray level around $78,125, this could be seen as an opportunity to sell with targets at the 21 SMA at $76,499 and finally at the 4/8 Murray level around $75,000.
As long as the Bitcoin price continues to trade within the uptrend channel, it is expected that Bitcoin will resume its uptrend after a technical correction and could reach the 6/8 Murray line around $81,126.
Given that Bitcoin is currently at resistance levels, a technical correction toward the lower band of the uptrend channel at $75,700 could follow in the coming days. Around this area, we could look for opportunities to open long positions with targets at $78,125 and $81,250.
A sharp break below the psychological level of $75,000 could change the outlook for Bitcoin, and we could expect it to fall toward the 200-day EMA at $72,480 and ultimately toward the 2/8 Murray line at $68,750.
