Famed technical analyst: Bitcoin risks short-term top or consolidation after big fall

John Bollinger, the famed technical analyst, believes Bitcoin could be heading down for lower.

Upon the news, the U.S. stock market soared, reading Bitcoin and gold to plummet in a short period.

Following a prolonged rally since September, the daily chart of Bitcoin is now hovering just below the top of the Bollinger Bands.

Bitcoin achieving the top of the Bollinger Bands coincides with testing the $16,000 resistance area for the first time since 2017.

In the past week, Bitcoin has steadily treaded below $16,000, repeatedly testing it.

Analysts unfazed about the long-term trend of Bitcoin.

In the long term, analysts remain unfazed by the price trend of Bitcoin.

"Now watch how those bitcoins that some dumb weak hand sellers sold in big chucks last 4 hours will be sucked up by strong hand buyers with hundreds of smart small 0.01 BTC algorithm buys. Those BTC will disappear in deep cold storage."

The confluence of the consistent accumulation of Bitcoin by institutions and the repeated retest of the most critical technical level at $16,000 could reduce the probability of a major pullback.

As long as Bitcoin remains close to $16,000, its macro and high-time frame technical structure remains positive.