Cryptocurrencies witness more declines

The short-lived crypto rally, according to some analysts, might have been a clever trap to tempt traders in. Bitcoin price is now redirected to the negative territory.

Bitcoin price has broken the ascending trend channel, prompting a 25% profit rally since July 13. A breaking news coverage was issued on July 21 to warn traders of the trend failure. The original peer-to-peer cryptocurrency produced the anticipated retest and rejection signal from the ascending channel on July 23 and has since lost 10% of its market value.

Bitcoin price currently trades at $20,706 as the bears suppress the digital crypto in a free-fall fashion. Although July provided knife-catching opportunities in the crypto market to make a profit, the decline in BTC price should not be looked at through the same optimistic lens. In layman’s terms, smart money has invalidated the bullish short-term count. BTC price targets $17,000 and potentially $16,200.

Ethereum price showed bearish signals just before the New York session ended on Friday, July 22. The Relative Strength Index also shows subtle bearish divergence near the current $1,580 price level, which warrants the idea of a possible liquidation hunt.