Bitcoin Price Analysis: As Binance Dust Settles, Will BTC Price Soar to $41K or Plummet to $34K Next?

Despite recent regulatory pressure from the United States, the cryptocurrency market has remained relatively stable. Investors are showing confidence by doubling their crypto investments in anticipation of a potential bull run following next year’s Bitcoin halving.

In the past 24 hours, the price of Bitcoin (BTC) has risen by 2.6 percent, reaching approximately $37,317 during the early Asian trading session. However, there are concerns that the $38,000 resistance level has proven to be a formidable barrier over the past three weeks, posing a risk of a potential reversal.

Bitcoin Price Analysis

While many altcoins have experienced gains in the past 24 hours, the outlook for Bitcoin remains uncertain as its dominance in the market slowly decreases. A breakout from the current consolidation phase could result in a significant $10,000 weekly candlestick for Bitcoin. Conversely, if the bulls fail to maintain their positions in the coming weeks, Bitcoin’s price may retrace towards the support range between $31,000 and $32,000.

Renowned crypto analyst Captain Faibik advises investors to exercise caution and wait for clear confirmation before making any hasty decisions.

Weekly indicators show that Bitcoin’s Relative Strength Index (RSI) has surpassed 70 for the first time since April 2021, indicating that bulls still have control. However, on the daily timeframe, a potential reversal pattern forms with a head and shoulders (H&S) pattern coupled with a bearish divergence on the RSI.

Market experts believe that with the recent Binance purge behind us, the U.S. Securities and Exchange Commission (SEC) may be more inclined to approve a dozen spot Bitcoin exchange-traded funds (ETFs). Additionally, U.S.-based crypto exchanges have gained a competitive edge with Binance’s forced exit from the market.