16.07.202115:51 Forex Analysis & Reviews: BTC approaches $30,000 breakdown but leaves chances for a bullish breakout of the resistance line: Forecast

Bitcoin ended the trading session extremely unsuccessfully on July 15. The asset dropped below the main horizontal support level around $32,800. This became a signal indicating a shift in the fluctuation range of the coin to the lower border of the channel. Yesterday, the cryptocurrency managed to test the support level in the region of $31,300, but today, July 16, bitcoin locally broke through this line. As of 10:30 UTC, BTC is confidently holding above the $31,300 local support level, but short-term indicators indicate a possible breakdown of the current line and further movement to $30,000.

It is worth noting that in the morning, the cryptocurrency was trying to climb above $32,000 during the Asian session. However, the asset stopped near the round value and reached $31,800. Considering yesterday's breakout of the long-term horizontal support level, the cryptocurrency further narrowed the range of fluctuations. As of 10:30 UTC, bitcoin fluctuates in the region of $31,200 - $31,600.

The current price corridor will not persist throughout the trading day, and expansion of the current boundaries should be expected. BTC will continue to test the $31,300 mark, and in case of a breakdown, it will shift the fluctuation zone even closer to the lower border of the wide range. This is indicated by the main technical indicators of bitcoin. The two-hour dynamics of the price movement confirms the bearish mood of the players (-0.5%) and pushes the price down. The RSI indicator is also below the 20 mark which indicates weak buying activity.

On the daily chart, the cryptocurrency continues its downward movement behind the $31,300 support level. If the market does not push the BTC/USD quotes beyond the support zone in the near future, then by the end of the trading day we can expect a movement to the key support area of $30,000.

At the same time, social activity in the bitcoin network increased, and the volume of daily trading jumped. The market is likely preparing to buy back the current fall, but a local support level has not yet been formed for this. Moreover, the MACD indicator has formed an upper crossover with the signal line, which may indicate a local sell-off. At this stage, there are two scenarios for the development of events. Based on the horizontal charts, we can assume that the current wave is over and the BTC/USD quotes will rebound beyond the local support level. However, if the structure is not yet complete and bitcoin is in the current price wave, then another bearish impulse should be expected.

At the current stage, bitcoin needs to close today's trading above the $31,300 mark, where the local support zone is concentrated. Yesterday's plan for a minimum to consolidate above $32,800 was failed, which brought the bears one step closer to retesting $30,000. If today's trading session closes below the $31,300 mark, tomorrow, July 17, a breakdown of the key support zone around $30,000 is possible. This will lead to a shift in the range of fluctuations in the region of $25,000 - $30,000 and a drawdown of the entire altcoin market.

Despite this, the activation of a part of the BTC audience and the growing volumes of daily trading on daily charts may indicate a possible attempt to rebound bitcoin at least to the local support level. As of 11:00 UTC, the first cryptocurrency groped for a buyback zone in the region of $31,100, but we still cannot overcome the pressure of the bears. The fall in quotes of the coin has slowed down, but short-term technical indicators do not indicate a possible rebound and a bullish breakdown to the support zone beyond the $34,000 mark.