- Bitcoin price begins recovery at the drawing board as bulls plan another assault eyeing $36,000.
A break above $32,000 may trigger massive buy orders in the near term, boosting the effort.
A recent death cross pattern could still hinder the expected upswing.
Bitcoin price has been underwater for most of this week. However, as the Asian session nears the tail end on Friday, a outlook seems to emerge. This follows formidable support confirmed at $31,000, which allowed more retail investors to anticipate Bitcoin rallying to $36,000.
Can Bitcoin Price Uphold An Uptrend
Generally, Bitcoin is trading within a descending parallel pattern, as observed on the 12-hour chart. In other words, the overall direction of the price is downward.
However, recoil is in progress from the support at $36,000, reinforced by the channel’s lower boundary. If this recovery is sustained, BTC would have the power to break the elongated losing streak and make haste to $36,000.
The ( ) shines a light on the camp getting more aggressive. This technical tool tracks Bitcoin’s trend and calculates its strength. A sharp rise from levels close to the oversold region shows that the bulls’ grip is tighter, and Bitcoin can approach higher levels.
On the upside, a break above the descending channel’s middle boundary will help validate the recovery. In the short term, a four-hour close above $32,000 may trigger more buy orders as investors are attracted to the market with the hope of seeing Bitcoin prices rocketing to $36,000 and $40,000, respectively.
Although recovery is underway, the impact of this formation could still pull Bitcoin price down. Note that failure to close the day above the channel’s middle boundary could invalidate the uptrend, as Bitcoin is destabilized toward $30,000.