Bitcoin’s price has been hovering around the $67,000 mark, showcasing a consolidation phase after recent gains. However, amidst this apparent stability, market analysts are warning of potential bearish momentum that could lead to a 10% price drop in the near term. Despite enjoying month-to-date gains exceeding 10%, Bitcoin’s current position is not immune to the looming threat of a downward trend.

Resistance Levels and Liquidity Concerns

Analysts point to significant resistance levels that Bitcoin must overcome to sustain its bullish momentum. The $70,000 threshold presents a formidable barrier, with liquidity concentrated around this level. Beyond $70,000, the resistance intensifies, particularly at the $72,000 zone, where the majority of liquidity currently resides. 

Failure to breach these resistance levels could signal a shift in market sentiment towards a more bearish outlook.

BTC/USD 24-hour price chart 

Moreover, recent downtrends have cleared most support levels, leaving $60,000 as the next notable region of interest on the downside. Analysts emphasize the importance of monitoring Bitcoin’s 100-day moving average (MA) as a crucial indicator of long-term support. Should Bitcoin’s price breach key support levels, it could pave the way for a significant correction, potentially reaching the $60,000 region or lower.

Bullish Outlook vs. Conservative Predictions

While some traders remain optimistic about Bitcoin’s prospects, others adopt a more conservative stance. Popular analyst Rekt Capital suggests that a mere 1% increase in Bitcoin’s price could initiate a new phase in the ongoing bull market. 

BTC/USD 24-hour price chart 

However, more conservative voices, like fellow trader Credible Crypto, anticipate a retracement towards the $60,000 range, representing a potential 10% drop from current levels.

Credible Crypto’s analysis underscores the potential impact on altcoins, which could experience even sharper declines if Bitcoin’s price undergoes a significant correction. As such, market participants are urged to exercise caution and closely monitor price movements amidst the current uncertainty.

Golden Cross Signals and Ichimoku Support

In addition to resistance and support levels, technical indicators such as the Golden Cross and the Ichimoku Cloud are garnering attention from traders. The golden cross, a bullish signal occurring when a shorter-term moving average crosses above a longer-term equivalent, has historically preceded significant price gains for Bitcoin. 

BTC/USD price chart 

Traders are hopeful that a new golden cross in lower timeframes could catalyze further upside for cryptocurrency.

Similarly, the Ichimoku Cloud indicator is reinforcing support around the $60,000 level, highlighting the convergence of various bull market trendlines. This convergence suggests that previous resistance levels are now acting as strong support zones, potentially mitigating downside risk for Bitcoin’s price.