Previous article Bitcoin price outlook: record rally sees BTC top $34,000 Next article Worlds First Bitcoin ICO Presale Ends 15th March Buy Now Buy Now Worlds First Bitcoin ICO Presale Ends 15th March Buy Now Buy Now Home Latest Cryptocurrency News Bitcoin price outlook: record rally sees BTC top $34,000 Bitcoin price outlook: record rally sees BTC top $34,000 By - min read 04 January 2021 Bitcoin’s price is sliding after hitting a new all-time high of $34,800 Bitcoin (BTC) price hit a record-high of $34,800 on Sunday, surging by more than 34% in a week to begin 2021 with a bang. The weekly outlook for the cryptocurrency suggests we are likely to see a pullback as technical indicators signal bullish exhaustion. Bitcoin’s weekly chart showing a spike to a new all-time high. Source: TradingView It is likely the downside seen over the past several hours will continue and push prices towards lows of $30,000. Despite this, the crypto sphere remains bullish about BTC/USD in the year ahead; with analysts predicting that prices could surge to $75,000—$100,000. At the moment, the price of Bitcoin is screaming for a sharp correction as can be seen by the negative-inclined RSI on the 4-hour chart. The dip from an overextended position for the RSI could be critical short term, given the last time, BTC price reversed when the indicator was touching the 88-90 region and went down nearly 80%. A look at the 4-hour chart shows BTC/USD has reversed but bulls are holding strong above $32,000. The BTC/USD pair will likely bounce to recent highs before slowing to retest support levels around today’s prices. In this case, the cryptocurrency’s price movement could form a bearish head and shoulders pattern. If the bearish pattern completes, it could inform a correction of 25-30% in the short term. BTC/USD 4-hour chart. Source: TradingView On the downside, bears are likely to prevail if bulls fail to keep prices above the 20-SMA ($31,559). An extended downside on increased selling volume could see prices fall to lows of $26,000, signalling a potential end to the parabolic rally. Further rot could see prices tank to the robust support zone near the $24,000 area, with $21,000 likely to provide further comfort in case of an over-extended downside. However, if an upside rally resumes on strong buying volume, it is likely prices could retest the main resistance level near $34,800. Above this level, buyers could target $37,000—$38,000. At the time of writing, Bitcoin is trading near $31,700, just below the previous resistance level at $32,000. From a technical perspective, bulls need to hold prices above or around this price level to prevent a retest of old support zones below $30K. Share this article Categories Analysis Tags Bitcoin News BTC