Bitcoin (BTC) is undergoing a slight correction, but the positive point is that the bulls are still holding their ground, not allowing the bears to gain an advantage. This reflects the optimistic sentiment of investors, as they continue to hold their positions with the expectation that the uptrend will soon be extended.
Data from Farside Investors shows that U.S. spot Bitcoin ETFs have attracted a net inflow of $799.4 million just on Wednesday, marking the 10th consecutive day of recorded capital inflows. Since July 2, the total amount of capital poured into Bitcoin ETFs has surpassed $5.2 billion — a figure indicating strong confidence from institutions and individual investors.
Will the BTC uptrend be maintained? What price levels are playing a crucial support role, and what are the targets to note in the short term? Let's analyze the chart to find the answers.
BTC Price Forecast
The bulls have attempted to resume the uptrend on Wednesday, but the long wick on the candle body indicates that the bears have firmly defended the $120,000 area.
The continuous failure to break above the $120,000 mark could open up a deeper correction towards the 20-day exponential moving average (EMA) at $113,528. If the price bounces off the 20-day EMA, the bulls will continue to attempt to push the BTC/USDT pair above the resistance area from $120,000 to $123,218. If successful, this currency pair could enter the next uptrend, with targets of $135,729 and then the model target at $150,000.
Conversely, the bears will need to pull the price below the support level of $110,530 to take control. At that point, BTC could plunge to $105,000.
On the 4-hour chart, the 20-period EMA has flattened out, and the Relative Strength Index (RSI) is just above the average threshold, indicating a high likelihood of the price moving sideways in the short term. The currency pair may fluctuate in the range of $115,000 – $123,218 for a while.
If the price turns down and breaks through the $115,000 level, the BTC/USDT pair could drop to the neckline and then to the strong support area at $110,530. The bulls are expected to fiercely defend the $110,530 level, as a breach of this level could tilt short-term advantage towards the bears.
The first sign indicating the return of bullish strength will be when the price breaks above $120,064. At that point, this currency pair could retest the historical peak at $123,218.
