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As the year comes to an end, a popular analyst suggested that Bitcoin (BTC) could see a rebound in the new year after the major cryptocurrency rose 4.2% to retest the key level.
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Bitcoin is seeing a slowdown at the end of the year
Bitcoin is struggling to hold the middle region of the price range for one month as the cryptocurrency market faces an end-of-year slowdown. In December, Bitcoin surpassed $100,000 for the first time, reaching a new all-time high of $108,353 midway through the month.
Over the past 30 days, the major cryptocurrency has moved between $90,000 and $108,000, and ranged between $96,000 and $102,000 for most of the month. However, Bitcoin has registered a 10.5% decline since it reached ATH, failing to maintain the $98,000 level over the past two weeks.
The largest cryptocurrency by market cap saw a brief rebound on December 25 but quickly lost its Christmas gains. Since then, Bitcoin price has recorded its deepest rebound since the beginning of December.
Bitcoin fell below the crucial $92,000 support zone on Monday, falling to $91,530 before recovering, raising concerns about BTC’s monthly close. However, New Year’s Eve began with a 4.2% rise throughout the morning, sparking year-end optimism about a price recovery.
The cryptocurrency price went from $92,000 to $96,000 before falling back to the $95,000 support zone. As the price of BTC rises, cryptocurrency analyst Ali Martinez said male The TD Sequential indicator showed a buy signal on the 12-hour chart, which could indicate a price rebound on New Year’s Day.
“All is well” for BTC rally
“A sustained close above $94,700 could lead to a rebound to $97,500,” Martinez noted. As the analyst previously pointed out, this level is one of the most important support areas for Bitcoin, and restoring it is key to the cryptocurrency’s short-term rally.
On the contrary, “a loss of $92,500 as support would invalidate the bullish signal,” Martinez added. Missing this level could also send BTC to the $70,000 level based on UTXO’s Realized Price Distribution (URPD) chart.
The analyst stated that a 25% breakdown to the $70,000 mark is possible, as the URPD chart shows minimal support below the major support wall.
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Meanwhile, James Van Straaten male That “all is well” despite BTC’s current price action. “This cycle, as with the previous three Bitcoin cycles, have all seen corrections at this point after the halving,” the analyst highlighted, adding that “corrections start later and end later. Maybe it has to do with longer cycles.”
As of this writing, Bitcoin is trading at $94,949, an increase of 1% on the daily time frame.
Featured image from Unsplash.com, chart from TradingView.com
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