Bitcoin Price Analysis: Analyst Expects BTC Price To Retest $28k Before Rally

The post Bitcoin Price Analysis: Analyst Expects BTC Price To Retest $28k Before Rally appeared first on Coinpedia Fintech News

By now, it is safe to argue that Bitcoin (BTC) has struggled to rally beyond $31k after the sudden recovery from trading below $25k in the past two weeks. The recent Bitcoin bullish outlook fueled by the ETF frenzy has been fading away after the United States Securities and Exchange Commission (SEC) argued that the filings on BTC ETFs are not clear and comprehensive. Nonetheless, the Bitcoin price is extremely close to a major breakout toward $40k, once the current resistance level gives in.

Bitcoin Weaknesses Before Rally Continuation 

According to a veteran cryptocurrency analyst Crypto Tony, (Twitter: @CryptoTony_), Bitcoin bulls have to act on $31k if the rally is to continue from current levels. If not, the analyst expects Bitcoin to retrace toward $28k to accumulate more buying pressure before a breakout. 

On the daily outlook, Bitcoin price has respected higher lows, a characteristic of a rising trend market. With the 50 and 200 daily Moving Averages (MAs) acting as strong support levels, Bitcoin price is well positioned to rally further in the coming weeks.

From an Elliott wave standpoint, Bitcoin price could be in the last phase of wave five before an ABC correction. However, intermediary volatility involving shorter Elliott waves is likely to be forming resulting in corrections within a larger wave structure.

With altcoins like Bitcoin Cash (BCH) and Litecoin taking the lead in the recent rally, Bitcoin dominance is slated to drop further in the coming days. As of Monday, Bitcoin dominance stood around 51 percent after scaling to heights of 52.16 percent in the last two weeks.