Per a chart from industry analyst Jacob Canfield recently posted on Trading View, Bitcoin (BTC) bears are still in control of the market, in spite of the fact that cryptocurrencies are seeing strong fundamentals and technicals simultaneously.
As Canfield depicts in the chart below, Bitcoin has seen a “hidden trend line” develop since late-2015, which supported BTC during four drawdowns in the 2016 to 2017 run-up. However, during this bear market, that former key support level has turned into heavy resistance. Earlier this year, BTC tried to pass $4,400, but was rejected off that trendline, and last week, BTC tried its hand at pushing past $5,500. This move, as you know, failed miserably, with the asset seeing an immediate 10% pullback to $4,950 as a result of the rejection.