Bitcoin faced a high resistance above USD 110,000, which suggests that bears are trying to stop digital resources from recovering high levels. This was obvious with many rejections above USD 110,000 in the last few days, while Bulls had support over $ 108,000. This trend plays an analysis published by Tehthomas’s cryptographic analyst, which forecasted rejection from USD 110,000. But more intriguing is where Thomas sees how the price goes on.

Bitcoin may fall on a shallow withdrawal

In the analysis of Thomas explained What happens to Bitcoin and why it can happen. It starts with a breakthrough after falling in the direction of $ 100,000, and then jumps. Digital assets were able to quickly pristine many gaps with a fair value in a 4-hour time frame to get a place above USD 110,000.

The cryptographic analyst explains that this movement caused a shift of moods towards positive, and after that there was a growing volume, as well as impulsive candles. All in all, it is quite stubborn for cryptocurrency. However, there is a risk of price drop.

After filling in many gaps in fair value with strength, the cryptographic analyst believes that this has established a precedent for the price of bitcoins. Expecting the same pattern to play For cryptocurrency, which includes rapid growth before shallow withdrawal, and then a continuation.

BTC SCLBACK on the territory of $ 104,000

It seems that recovery of bitcoins above USD 110,000 caused a fair gap below USD 107,000, which according to cryptographic analysts will have to be completed. In this case, it is possible that the price rally will not be continued until this condition is met. Nevertheless, retreating to the level would not be bear, but rather would provide a reflection point for price recovery.

Thomas described this trend with a “classic sequence containing smoking with a break”, and the next thing in the queue is to fill the gap in fair value. According to the common table, the cryptographic analyst sees withdrawal with the price Get back below $ 105,000 and in the territory $ 104,000 before the next reflection. This would mean 5% withdrawal and so far this year, which was bad for Altcoins.

However, the conclusion is that Bitcoin is stubborn from here. After filling the fair gap, a powerful peaceful up is expected, perhaps towards novel ups of all time. “I expect that the controlled withdrawal will fill the new 4H imbalance, after which the price can continue to push towards the main resistance area,” said the analyst. “The shoot is clean and structured – as long as it changes, the continuation remains a more likely path.”

A distinguished picture from Dall.e, chart from tradingview.com