Ethereum (ETH) Price Has Delayed Retesting $2,000 Despite Being Inches Away from This Psychological Level

Ethereum price today trades at $1,825 after dropping 1.08%. This outlook is likely to get worse as technicals suggest a waning momentum that could soon tip

The recent cryptocurrency market outlook has seen Bitcoin (BTC) and Ethereum (ETH) stall at a crucial psychological level.

Bitcoin price today is trading at $70,285 and is down 0.64%. This outlook is likely to get worse as technicals suggest a waning momentum that could soon tip over, favoring bears. With Bitcoin price also showing signs of short-term correction, investors need to be cautious.

What is the main trend for BTC?

Despite the new all-time high, Bitcoin has failed to muster the momentum or buying pressure to reach the $72,000 psychological level. A closer look at the four-hour chart for BTC shows bearish divergence. The higher highs and higher lows formed since April 23 are running on fumes.

RSI is failing to make higher highs

Relative Strength Index (RSI), on the other hand, has produced lower highs above the mean level. This non-conformity is termed bearish divergence. Often this setup results in a correction.

If this bearish divergence plays out, then Bitcoin price could slide down to $67,260 or revisit the $66,000 support level. Ideally, a bottom formation between $66,000 to $63,000 is a good confirmation for the bullish cryptocurrency market outlook.

Bitcoin (BTC) price is heating up again and one trader is setting the scene for another leg of the bull market to unfold in the coming days.

What is the technical outlook on Bitcoin?

The crypto trader, who is known as "Ben" on the social media platform X, previously called Twitter, shared an optimistic outlook on Bitcoin in a recent analysis.

According to Ben, Bitcoin is still in a bull market despite a recent pullback from an all-time high above $73,000 to trade in the mid-$69,000s at the time of writing.

The crypto trader, who boasts a following of over 166,000, pointed out that Bitcoin is now testing the 200-week moving average (WMA) on the weekly chart, which is a significant level of support.

"Still in a bull market. 200WMA on the weekly chart holds. New all-time high on the 4H chart. Expecting a final touch of the 127.2% fib to complete the last wave of this cycle iii."

Moreover, Ben highlighted that Bitcoin is forming a new all-time high on the four-hour chart, which could be a sign that the cryptocurrency is preparing for another leg up.

According to Ben, Bitcoin is now in the last cycle of a larger time frame, which is cycle iii.

To complete this cycle, Ben expects Bitcoin to touch the 127.2% Fibonacci level from the previous cycle low to cycle high.

This Fibonacci level is located at around $67,000, which means that Bitcoin would need to pullback slightly further from current price levels.

However, with Bitcoin already showing signs of short-term correction, investors need to be cautious.