Bitcoin (BTC) started at the beginning of last week there was a little more bullish to look out. Many analysts believed that we would see a trend reversal in the price. Finally stayed bitcoin however, still hung in a downward trend and the price mainly settled lower highs in lower lows.
Hopes of $100,000 for this year seem to have largely vanished. There is still a lot of uncertainty in the market due to the Omicron variant of the coronavirus. Still, many analysts believe that we may now be able to see a trend reversal.
Bitcoin Fear and Greed Index is 29. Fear
Current price: $46,666 pic.twitter.com/qIAwA8kaMN— Bitcoin Fear and Greed Index (@BitcoinFear) December 19, 2021
Bitcoin price last week
From bitcoin price remained caught in a downward trend last week. Last Saturday the price made a dip to $47,300 but was able to climb to $50,000 last Sunday. The price then plunged again on Monday, this time making a lower low around $46,500. Bitcoin was able to recover slightly the next day, but by then it was already running into too much resistance around USD 49,000 and started falling sharply again.
On Friday, the price even briefly fell below $46,000. Still, bitcoin was able to find support there and started rising again yesterday. However, the USD 47,000, a key support level for the price, has now started to turn into resistance and bitcoin fell back to USD 46,500.
Last night, bitcoin suddenly made a sharp move upwards, breaching the USD 47,000 level again and shooting all of a sudden to USD 48,125. However, bitcoin was again rejected and the price dropped back to that $ 47,000 this morning. Can Bitcoin Hold Up Here This Time? The 200 Days simple moving average is now around $47,125. Or will bitcoin remain in a downtrend and establish another lower low? Then bitcoin could potentially fall all the way back to the $40,000-$43,000 range.
Analysts believe in trend reversal
Many prominent analysts have pondered over the weekend why they believe this dip is lasting so long and why we may be able to see a trend reversal soon after all. Several analysts have noticed that the current situation somewhat resembles the consolidation phase in May and June. In July, bitcoin finally started to rise again.
#Bitcoin tracking the lower 0.618 (dark red line) of the channel, just as we saw in May-June.$ BTC just shy of that level today, holding the 0.5 (like July 20). If that holds, it could be a sign that a reversal is coming.
Cross the median line for confirmation. Patience is key. pic.twitter.com/EI77UI5ERr
— Steve⚡ (@decodejar) December 18, 2021
The following analyst says the current dip is caused by selling pressure from China and especially on the Huobi exchange. Huobi is a crypto exchange like Battle in Binance, but one of the largest for the Asian market.
The reason for current extended sell-off, short ????????
Asia’s largest exchange, Huobi, has stopped related trading in China. #Bitcoin has been flowing from Asia to the US and Europe for some time. pic.twitter.com/2kweVvgSrB
— Root ???? (@therationalroot) December 18, 2021
This analyst explains why that 200-day moving average is so important to keep an eye on, at least for the medium term:
The #BTC 200D MA (200-day moving average of price) is an important level for understanding #Bitcoin.
I think the $ BTC 2Y MA and its 5x multiple are more valuable long-term, but mid-term the 200MA is worth paying attention to.
Here’s my perspective ????[THREAD]???? https://t.co/qk2VYXqN8o pic.twitter.com/08et0Xg1CO— ???? YearofTheBULL ???? (@misconfig_exe) December 17, 2021
The following analysts see bullish signs on a range of different indicators:
#Bitcoin Daily Chart:
Starting to see bullish cross on the MACD???? pic.twitter.com/HTHiBD6LDB– Kevin Svenson (@KevinSvenson_) December 19, 2021
#Bitcoin monthly Chaikin Money Flow (CMF) and its relation to macro tops… pic.twitter.com/b9uvx7pvSN
— TechDev (@TechDev_52) December 18, 2021
HODL #bitcoin pic.twitter.com/yJgf6N0rMD
— ChartsBTC (@ChartsBtc) December 18, 2021
#Bitcoin 3 Day RSI currently BOUNCING off the trend line that has accurately predicted the bottoms of the 3 biggest crashes over the last 5 years!!!!!! https://t.co/55MBIbHs50 pic.twitter.com/lqIjQrM0eV
— Matthew Hyland (@Parabolic_Matt) December 19, 2021
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