Bitcoin (BTC) starts the second week of June in familiar territory — but a breakout is coming, investors say.
After a calm weekly close, BTC/USD is firmly in its established trading range, while under the hood, market participants are preparing for some dramatic shifts.
It has been a long time coming — and for seasoned traders, the signs are increasingly pointing to volatility making a comeback.
There is little by way of macroeconomic triggers due this week, making the focus shift elsewhere for cues as to what BTC price action might do in the short term.
On-chain analysis provides other interesting insights, reinforcing the idea that in Bitcoin currently, the only “boring” part is spot price.
Cointelegraph takes a look at the key factors at play as BTC/USD hovers around $27,000 for another week.
Weekly close preserves key trend line
BTC/USD may not have inspired with its latest weekly close, but some popular traders are seeing fresh cause for optimism.
Despite remaining firmly in its narrow trading range, as confirmed by from Cointelegraph Markets Pro and TradingView, the chances of a breakout toward $30,000 are increasing.
“Feels like it’s a matter of time until Bitcoin finally breaks that 30k level once and for all,” trader Jelle wrote in part of his latest analysis.
Jelle, like others, noted that the 200-week moving average (MA) — a key support line — remained intact.
Also intact were various support structures on trader and analyst Rekt Capital’s radar covering daily timeframes.
“So far, so good,” he summarized about the potential for an exit higher, potentially invalidating a bearish “head and shoulders” structure from the weeks prior.
#BTC successfully retesting not just the top of the red downtrending channel but also the bottom of the red box
So far, so good$BTC #Crypto #bitcoin https://t.co/a0VCL61Qvm pic.twitter.com/V7SnIMlpJZ
— Rekt Capital (@rektcapital) June 4, 2023
An additional tweet mentioned a “successful retest” of support in the offing.
“BTC broke down from a head and shoulders pattern in May. But there’s classic whipsaw action around the neckline,” trading account Game of Trades nonetheless acknowledged.
“The pattern remains valid unless the price moves above the right shoulder.”
An accompanying chart gave a potential downside target of just $24,000 for BTC/USD as a result of the head and shoulders…
Click Here to Read the Full Original Article at Cointelegraph.com News…
