The last three weeks have been profitable for Bitcoin. Since July 20, the price of Bitcoin has risen by almost 58%. Bitcoin was able to rise above the $30000 and $40000 levels. On Monday, we saw a small pullback caused by a disagreement in the US government over tax legislation in the field of cryptocurrency. However, the correction was short-lived, the price quickly recovered and yesterday was able to reach $46787. This is the highest Bitcoin price in three months.
However, today we are seeing a new bearish correction. At the time of publication, the BTC/USD pair dropped to $44450. It can be concluded that the level of $46700 provided the bulls with resistance, which they could not cope with. As a result of the decline, the BTC/USD pair went down from the price channel on the hourly chart. However, on the 4-hours chart, the BTC/USD pair continues to trade in an upward price channel that provides support for the pair around $42500.
Since the BTC/USD pair has already dipped below the resistance levels of $45450 and $45000, it may head towards the area of $43400. Here the bulls will try to keep the price from falling further.
If the bulls manage to contain the price, we will see short-term consolidation and accumulation of forces in the near future. Further, the BTC/USD pair will need to overcome the resistance levels of $45200 and $46500 to rise above the recent high. After breaking up the level of $46700, we will see a new rise in the BTC/USD pair. Here the price can rise to the area of $47500.