Bitcoin To ‘Roll Back Down’ if BTC Fails To Break Through This Critical Resistance Zone, Says Nicholas Merten
Crypto trader Nicholas Merten has identified a crucial target that Bitcoin (BTC) must reach in order to confirm a bull market. Merten, who has more than 512,000 subscribers on YouTube, warns that Bitcoin is likely to experience a significant correction if it fails to break above the range it has been trading in for about six months.
According to Merten, Bitcoin needs to surpass the range between $28,000 and $32,000, which represents the price range of prior support in the last bull market that could potentially serve as resistance now. If Bitcoin fails to break through this range and set new relative highs above the resistance at $32,500, Merten predicts a roll back down in its price.
Merten also points out a bearish reversal pattern, known as a head and shoulders pattern, on Bitcoin’s weekly chart. This pattern is characterized by three peaks, with the middle peak being the “head” and the two outer peaks being the “shoulders.” While an inverse head and shoulders pattern could indicate a bullish reversal, the presence of a typical head and shoulders pattern suggests a potential short opportunity if Bitcoin faces resistance just below $32,000 and breaks below the channel around $25,000.
At the time of writing, Bitcoin is valued at $27,598. It remains to be seen whether it can break through the crucial resistance level and confirm a new bull market.
It’s important to note that the opinions expressed by Merten are not investment advice. Investors should conduct their own research and due diligence before making any high-risk investments in Bitcoin, cryptocurrencies, or digital assets.
In conclusion, Bitcoin must overcome its current trading range and resistance level in order to confirm a new bull market. Crypto trader Nicholas Merten warns of a potential correction if Bitcoin fails to break through this range, and also highlights a bearish head and shoulders pattern on the weekly chart. As always, it is crucial for investors to exercise caution and conduct thorough research before making any investment decisions in the volatile cryptocurrency market.
