FX.co ★ Bitcoin: bearish pattern in play

Bitcoin rebounded in the short term but this could be only a temporary. It's trading at 23,366 at the time of writing. The cryptocurrency increased by 4.92% from Saturday's low of 22,770 to 23,890 yesterday's high.

Technically, the price action developed a potential bearish pattern. Still, the chart formation is far from being confirmed. BTC/USD increased by 0.55% in the last 24 hours but it's down by 0.85% in the last 24 hours. Fundamentally, the US CB Consumer Confidence represents a high-impact event today and could have an impact on Bitcoin as well.

BTC/USD Temporary Rebound!

Technically, the crypto rebounded and developed a flag pattern. Still, as long as it stays above the uptrend line, the rate could approach and reach the weekly pivot point (23,860) again.

23,369 and 23,218 represent immediate downside obstacles. After escaping from the range between 25,212 and 23,369, BTC/USD signaled a larger drop. Now, it has turned to the upside trying to test and retest the immediate resistance levels.

BTC/USD Outlook!

A valid breakdown below the uptrend line and through 23,218 activates a deeper drop towards the S1 (22,471).