Bitcoin Recovers Above $17,000, Why This Could Be A Bull Trap

Name	Symbol	Market	Market Cap ($)	Algorithm
Ethereum	ETHUSD	Crypto	369,641,886,548	Not Mineable

Name

Symbol

Market

Market Cap ($)

Algorithm

Ethereum

ETHUSD

Crypto

369,641,886,548

Not Mineable

	Price Change	Price Change %	Current Price	Bid Price	Offer
	89.07	2.98%	3,076.15	3,075.88	3,075.90

Price Change

Price Change %

Current Price

Bid Price

Offer

89.07

2.98%

3,076.15

3,075.88

3,075.90

High Price	Low Price	Open Price	Prev. Close	52 Week Range
3,089.25	2,958.55	2,987.82	2,987.08	1,520.85 - 4,093.88

High Price

Low Price

Open Price

Prev. Close

52 Week Range

3,089.25

2,958.55

2,987.82

2,987.08

1,520.85 - 4,093.88

Exchange	Last Trade	Size	Trade Price	Currency
GDAX	18:46:08	6.50	3,075.90	USD

Exchange

Last Trade

Size

Trade Price

Currency

GDAX

18:46:08

6.50

3,075.90

USD

Price x Volume	Volume	Base Symbol	Related Pairs
235,452,609.60	77,910.26	ETH	ETHEUR	ETHGBP	ETHBTC

Price x Volume

Volume

Base Symbol

Related Pairs

235,452,609.60

77,910.26

Bitcoin Recovers Above $17,000, Why This Could Be A Bull Trap

15/11/2022 5:00pm

NEWSBTC

Bitcoin is on another recovery path after suffering one of the worst declines of 2022. The digital asset had hit a low of $15,500 before bouncing back up, all of this happening in response to the decline of FTX, the second-largest crypto exchange by trading volume. The price of bitcoin had altered and recovered above $17,000, dragging the market back into the green, but this could only be a short-lived recovery. A Bull Trap In The Making With the decline that was seen in bitcoin and the general crypto market on Wednesday, it was expected that there would be some kind of recovery. This was further propelled forward by the positive CPI data release on Thursday, triggering a good bounce in the price of the digital asset. Related Reading: Bitcoin Shows Strength As Price Holds Above $16,500; Is This A Bear Trap? However, it is not exactly a completely positive return given how much of its value was recovered and the time frame in between. More often than not, recoveries like these are a bull trap intended to pull more liquidity into the market. Even with the recovery in price, the sell-offs have not subsided, which puts investors coming into the market at these prices at a disadvantage. A retracement from this level will likely lead to lower lows and a new cycle low. BTC price remains volatile | Source: BTCUSD on TradingView.com There is also no significant support for bitcoin above $17,000. Everything from the current price down to $16,500 hangs by a thread. This means that bitcoin will not be able to withstand another downtrend and will see it establishing support just above $16,000. Bitcoin Still Not Bottomed For many, it is easy to believe that the bottom is in for the digital asset simply because it has fallen below its previous cycle low, but historical trends show there is still more decline to come. It was the case with bitcoin back in 2018 when the price had finally hit $10,000 and it seemed there was nowhere left to go. In the end, BTC would bottom out just above $3,000. Related Reading: XRP Price Rallies 15%, Why Ripple Could Outperform Bitcoin and Ethereum With bitcoin sitting well below its 50-day moving average, the sell-off trend remains strong. Too much supply is being dumped in the market with not enough demand to soak it up. Add in the fact that the FTX case is still unraveling and will do so for the next few months, and more downside is expected for bitcoin. A likely bottom point for bitcoin during this cycle would be the $13,000-$14,000 level with some wiggle room. Altcoins will also suffer more losses according to current market movements and the decreased faith in the crypto market. Featured image from Barron's, chart from TradingView.com Follow Best Owie on Twitter for market insights, updates, and the occasional funny tweet…

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