On November 28, the price of Bitcoin (BTC) increased from $ 3,771 to $ 4,355, by more than 15.4 percent. In less than 48 hours, the dominant cryptocurrency has retreated to $ 3,861, falling below $ 4,000.
Bitcoin posted a 7-month daily rise in value on Wednesday, which led traders to be optimistic about the short-term trend of the asset, considering the high intensity of the bullish movement.
But, BTC's lack of momentum inevitably led to the cryptocurrency to fall about seven percent in the last 12 hours.
Expected fall
On Wednesday, Hacked.com reported that traders were not convinced of a bull run after the strong 15 percent rise in Bitcoin. At that time, a leading cryptocurrency trader with the alias The Crypto Dog said:
"Very weak, I originally had an optimistic mentality to see this AP but the bulls response has been disappointing, I still think we will see a 4k bounce, but it may not continue much longer.
Alex Kruger, cryptocurrency economist and trader, also suggested that while the corrective concentration in the short term allowed the asset to establish a fund, it has not found an adequate fund in a price range and a fall below $ 4,000, possibly up to $ 3,700, is still a possibility.
According to cryptocurrency technical analyst Hsaka, when the Bitcoin price was around $ 4,300, he was testing a resistance level. Getting out of that could have allowed the asset to prove higher resistance levels in the higher range of $ 4,800 to $ 5,200, but ultimately, BTC struggled to prove strength at $ 4,300.
"Do not get euphoric anymore, the price is in resistance in higher time frames. Waiting for a setback to 4060 to start. It is also tomorrow's expiration date tomorrow. Decreased volatility, "said Hsaka, before the fall.
After the seven percent decline in BTC, the merchant added:
"I want to see this retention level of $ 4,060, otherwise, I think we're going to $ 3,800."
The cryptocurrency market showed massive oversold conditions earlier this week and that led the market to record an impressive and unexpected corrective rally. Even the tokens, which have been struggling due to increasing regulatory pressure on the ICO projects, increased by more than 20 percent against the US dollar.
The problem was that, although oversold conditions led the market to recover, there were not enough purchase volumes to maintain the momentum.
