Bitcoin bounces back above $40,000.00 but visibly hesitant to break above $42,000.00 after briefly peaking at $41,760.00 this Tuesday.

Importantly, Bitcoin even dropped to a low of $38,536.51 during April 18 when the bears managed to break the support level at $40,000.00.

Due to the pessimism of macroeconomic sentiment and increasing fears of aggressive moves by the Federal Reserve – FED to control inflation which could lead to a recession in the United States, served as a backdrop for this slump affecting the entire cryptocurrency market.

After hitting the previous low, Bitcoin is currently rallying above $41,000.00 as bulls look to recoup past losses.

Bulls expect the strength of this price rally to hold, otherwise we could see more dips with bears looking to push Bitcoin closer to $37,000.00.

However, despite the intensity of this recovery, Bitcoin’s negative trend has not changed.

So we can see on the daily chart the perspective of the BTC /USDT pair is more bearish with the formation of some patterns such as a possible OCO (black arrows), a symmetrical triangle (green lines) and finally a bearish flag that is confused with a channel bullish (red lines) as well as staying below the 50 (blue line) and 200 (yellow line) day averages that have provided support as resistances to Bitcoin price action and also the MACD lines continue to fall close to entering the negative region and the RSI is struggling not to fall below 50.