Bitcoin Bouncing From the Legendary Support Line, Have the Bearish Clouds Faded?

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The crypto markets witnessed a minor relief in the past few hours as Bitcoin prices quickly jumped above $25,400 after marking lows close to $24,800. Ever since the start of 2023, the price has traded along an ascending trend line. The trend line offers the required base during each bearish event. Presently, the price bounced after hitting these levels, but the rebound has not been validated yet. 

In case, the previous trend repeats, the BTC price may soon undergo a massive upswing of more than 50% to mark new highs. Currently, the bulls appear to have drained the price from the lower support and hence may continue to consolidate for a while before a notable breakout towards the north. 

The BTC price is trading within crucial levels after rebounding from the interim support below $25,000. The price, after testing the lower support, is trying hard to sustain above the support zone. A breakout from here may lift the price close to $27,000 or else may even rise the levels above. In contrast, a bearish rejection may drag the price lower, testing one of the major support below $24,000 at around $23,890. 

Besides, the Peull multiple is maintaining a stagnant trend which indicates the BTC price may maintain a stagnant trend. If the levels reach the lower support, then it is considered as the beginning of a massive bull run while a rejection from the highs is considered as the beginning of the bear market. 

As per the data from Glassnode, the Puell multiple is consolidating along the average levels, which indicates less involvement of bulls and bears. Moreover, considering the previous market trends, the levels are further assumed to move towards the north, which may raise the price levels towards the higher targets. Alongside, the mining difficult has also peaked, indicating more participation from the miners which may be a good sign of a positive price action ahead.