Bitcoin is Getting “Squeezed” Between 2 Critical Levels; Volatility Imminent

Bitcoin

Bitcoin’s price action feels somewhat void of momentum, with investors and analysts largely focusing their attention on Ethereum and other altcoins for the time being.

This comes as BTC hovers within the lower-$30,000 region, with bulls struggling to perpetuate the momentum that helped send its price rocketing from lows of just over $28,000 to highs of $33,000 that were set last night.

One analyst is now noting that Bitcoin is currently hovering between two key technical levels, which could mean that it is only a matter of time before the crypto sees a massive movement.

Bitcoin Struggles to Maintain Strength as Sellers Try to Regain Control 

At the time of writing, Bitcoin is trading down just under 1% at its current price of $31,900. This marks a notable decline from its recent highs of $33,000 that were set overnight.

The resistance here was quite intense and has since caused its price to slide lower, with no clear support until $30,000.

If the crypto can gain any immense momentum in the short-term, it could invalidate this weakness and confirm the “V-shaped” recovery that bulls have been hoping for.

Analyst Claims BTC is Gearing Up for a Massive Movement

One analyst explained in a recent tweet that Bitcoin could be getting ready to make a big movement.

He explained that it is currently trading squarely between its 21 and 200-day EMAs, which could mean a big movement is imminent.

“Bitcoin getting squeezed between the cloud. Specifically between the 21 and 200ema – big move will follow.”

Image Courtesy of Teddy. Source: BTCUSD on TradingView.

The coming few days should shine a light on whether this imminent move will favor bulls or bears, and tonight’s weekly close should also be telling as to BTC’s mid-term outlook.

Featured image from Unsplash.
Charts from TradingView.
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