Bitcoin (BTC) bulls have managed to stabilise the maiden cryptocurrency’s price after slumping to a two-year low early in the week. Despite the short-term recovery, Bitcoin is still facing a threat of further correction, considering the market is yet to recover fully from the FTX crypto exchange collapse.
In this line, Kitco News analyst Jim Wyckoff on November 25 stated that Bitcoin bears still have a technical advantage. However, he noted that bulls must do more for Bitcoin to realize a bottom.
“While prices Monday dropped to a two-year low, the bulls have stabilized prices since. The BC bears do still have the overall near-term technical advantage. However, the sideways price action most of this week does slightly favor the bulls. Bulls would need to show solid power to suggest a market bottom is in place,” he said.
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Bitcoin price analysis
As things stand, Bitcoin is trading at $16,481, recording less than 1% gains in the last 24 hours. At its current value, Bitcoin has dropped about 75% from the previous all-time high.
Elsewhere, Bitcoin technical analysis is dominated by bearish sentiments, with a summary going for a ‘sell’ at 14 while moving averages are for a ‘strong sell’. Elsewhere, oscillators remain ‘neutral’ at nine on the daily gauges as retrieved from TradingView.
At the same time, crypto trading expert Michaël van de Poppe in a tweet on November 25, noted that Bitcoin is currently between levels while stating that the asset can potentially breach the $18,000 level.
“Bitcoin in between levels. Clearly want to sustain above $16.250-16.450. Clearly want to break $16.800-17.000. If that happens, path towards $18.400 is open,” he said.
Bitcoin’s possible bottom
Notably, with the market looking for a possible Bitcoin price bottom, a Finbold report noted that the asset’s recent price movement has mimicked a 2015 trend that resulted in a bottom. Indeed if the trajectory is replicated, it could hint that a price rally might be imminent.
It is worth noting that besides suffering from FTX crisis-induced correction, Bitcoin has been impacted by the prevailing macroeconomic factors led by skyrocketing inflation and interest rate hikes.
Indeed, Bitcoin has consolidated at $16,500 after the Federal Reserve hinted at a possible slowdown from the aggressive interest rate hikes.
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