Despite the slow decline at the beginning of August, a reversal pattern is forming on price charts, including Bitcoin's.
Currently, $BTC is fluctuating around the $63,200 level, forming the right shoulder of the classic inverted 'head and shoulders' pattern. Analyst TechCharts' Axel Kibart called this situation the only real reason for short-term optimism among bulls this month.
While Bitcoin is still at the base of the rise, the main question is whether buyers will have enough strength for a decisive push towards the key level of $67,000. In the $ETH/$BTC pair, a similar reversal bottom has already been broken upward.
The leading altcoin has established itself in an uptrend and is confidently moving towards the technical target of 0.0312, proving that large capital currently prefers to invest in $ETH rather than the market flagship.
This liquidity rotation is draining Bitcoin and depriving it of the volume needed for a quick start.
As for Ethereum, in its pair with the US dollar, the altcoin is currently cautiously testing the $1875 level. If this support level withstands the pressure, the coin will have a clear path to $2163.
This relative strength of $ETH is an excellent signal for the market as a whole, but the situation remains tense for Bitcoin holders. Either $BTC will follow the example of its younger brother and show rapid growth above $67,200, confirming the classic reversal, or the pattern will not be realized.
Based on Kibart's view, if there is no attack on the neckline in the coming days, bears will regain control and send Bitcoin towards solid support levels at $60,000 and $58,000.
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