Bitcoin Could Hit $28,000 But Faces 13% Correction Risk

Paigambar Mohan Raj
bitcoin btc
Source: Pixabay

Bitcoin’s (BTC) price has surprisingly held steady after plummeting from near $30k levels and falling to the whereabouts of its current price point. The original crypto now faces the risk of breaking away from its pattern of higher highs and higher lows, which it had been following for most of 2023.

BTC faces immediate resistance at around $28,000, with support at around $25,000. BTC had bounced from this support level in mid-June, before hitting a yearly high of $31,7000 a month later. However, another month later, BTC fell back to its mid-June support level and has been consolidating around that price price.

Source: BTC/USDT Chart by Trading View

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BTC’s Fibonacci Retracement indicated that the coin could rise to around $28k, before making any further moves. MACD (Moving Average Convergence Divergence) in the daily chart also shows that bulls are taking charge. Meanwhile, the RSI (Relative Strength Index) shows that the asset is neither oversold nor overbought.

Will Bitcoin continue to rally beyond $28k?

Source: Bitcoinist

While BTC might hit $28k soon, there is not a lot of volume to support this price point. In fact, the coin’s VRVP (Visible Range Volume Profile) shows that BTC’s price would find the most support at around $23k. Therefore, BTC faces a potential risk of falling by 13.5%. Nonetheless, many anticipate that BTC will begin a bull run soon as the asset’s halving approaches. Despite the recent plunge, Bitcoin (BTC) is still one of the best-performing assets in 2023. Since Jan. 1, the original crypto has risen by over 60%. Apple (AAPL), on the other hand, has rallied by about 40.5% in the same time frame.

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Moreover, news about BlackRock’s application for a spot Bitcoin (BTC) ETF (Exchange Traded Fund) had sent the crypto over the $30k mark. However, the SEC’s delay in deciding on the many ETF applications it has received may have caused the asset’s price to fall once again. If the spot BTC ETF is approved, it could send the asset to a new all-time high.