Bitcoin’s rise to $74,000 could turn out to be a trap
The rise in Bitcoin’s price to $74,000 on March 4 may resemble the bull trap that appeared in the market in 2022.
The price fluctuations of $BTC observed since February 6 closely resemble the dynamics seen between May and June 2022. Therefore, if history repeats itself, the sudden rise of the cryptocurrency to $74,000 could turn out to be a trap set by bulls, and a strong bearish trend may emerge on March 17.
Comparison of Bitcoin price fluctuations in 2022 and 2026
According to the RSI index on the daily chart, which is slightly above the neutral zone, the upward trend in the $BTC market may continue. The fact that the asset’s price remains above the 800-hour exponential moving average line also supports the preservation of a bullish trend in the medium term.
However, if the bull trap hypothesis proves correct, the price of Bitcoin will not exceed $74,000 before the next wave of decline. Based on Fibonacci levels, Happy Coin News analyst Yuriy Savelyev predicts that within the new phase of the bearish trend, $BTC could fall to at least $58,000. If there is no trap, the coin may have a chance to rise to $80,000.
Given the current uncertainty in the market, traders should exercise caution when making trading decisions.
See also: "Bitcoin approaches a key price zone"
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