Amid increased fears of a further price correction, Bitcoin (BTC) has managed to find some stability below the $17,000 level after days of a tussle between bulls and bears. The asset is looking for a price uptrend after the heightened volatility caused by the FTX cryptocurrency exchange collapse has, for now, at least subsided. 

With the newfound stability, Kitco News analyst Jim Wyckoff on November 18 noted that Bitcoin was facing a threat of a downside price breakout. However, based on recent price movement, the flagship cryptocurrency appears to have acquired new strength helping contain any further losses. 

“Recent price action had formed a bearish pennant pattern on the daily bar chart. However, the bulls have stabilized prices to prevent a bearish downside price “breakout” from the pattern. Bulls have now gained a slight bit of strength late this week, but the bears still have the overall near-term technical advantage,” Wyckoff said. 

Bitcoin exhausts downward momentum 

Furthermore, Bitcoin appears to have exhausted its downward momentum as the asset seeks to build on the support level formed at $16,200. However, Bitcoin is still trading below the $18,000 level, which acted as a key support position in recent weeks. 

Interestingly, the asset has highlighted a possible sell signal since 2021, with analysts maintaining that if the downward momentum is awakened, Bitcoin faces a potential correction to…