Bitcoin tested the bottom of the triangle twice as shown in the 4-hour chart below. BTC rose quickly as the relief rally pushed the price higher after touching the support at $41300.
Bitcoin dropping below $40,000 is still possible if this support level breaks as it would trigger a Descending Triangle pattern. Traders seem to be out of the trade for now as there are not many opportunities in short term. As for the midterm, once Bitcoin breaks out the swing play between support and resistance we’ll be able to predict the next movement. However, bears seem to remain in control for the time being. Besides the support at $41300, we have strong resistance at $44,000, fib 0.786.
