Bitcoin Price Prediction: BTC To Retest $43,500 Support Wall

Nancy Lubale
January 4, 2022
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Bitcoin inflation

Monday January 03, 2022 marked the 13th birthday for the world’s first cryptocurrency, Bitcoin. Bitcoin price has risen tremendously since Satoshi Nakamoto, the Bitcoin creator, mined the genesis block or block 0 13 years ago. On January 3, 2009, Nakamoto mined the first block for the Bitcoin network getting a reward of 50 Bitcoin (BTC).

13 years later, the Bitcoin network is showing no signs of slowing down as BTC/USD price hit unprecedented record highs in 2021 and Bitcoin enthusiasts expect the price to continue surging in 2022.

However, the current consolidation below $50,000 gives investors on opportunity to buy cheaply before the big crypto surges again.

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Bitcoin Price Present A Buying Opportunity At The $43,500 Support Zone

BTC has been trading below the $52,000 level for the last one month with the downtrend extending to areas as low as $43,500. This downtrend has continued to the days leading into the new year, with Bitcoin price consolidating at $46,311 at the time of writing.

The downward BTC price action has formed a descending parallel on the daily chart as shown below. Note that, as long as the pioneer crypto continues to trade within the confines of the parallel channel, the price is set to go lower.

BTC/USD Daily Chart

Bitcoin price chart

Therefore, a closure below the immediate support at $46,000 could trigger massive sell orders that could take BTC price below the $44,000 psychological level to tag the middle boundary of the governing chart pattern around $43,500.

Apart from the bearish chart pattern, the position of the Relative Strength Index (RSI) indicator at 40.71 and the call to sell signal from the Moving Average Convergence Divergence (MACD) indicator is an indication that bears are overpowering the bulls at the moment.

On the upside, several recovery attempts have been made to reclaim the $50,000 crucial level. Bulls might try to make the same recovery attempt and they might succeed if they achieve a closure above the $47,293 resistance level.

A clear bullish breakout will be achieved if Bitcoin price overcomes the resistance at $48,197 where the 200-day Simple Movign Average (SMA) and the upper boundary of the descending channel coincide. If this happens, bulls will be bolstered to push the price even higher and the $60,000 level forecasted by most industry players for the Bitcoin in the first quarter of 2022 will become a possibility.

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Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.

Why Trust CoinGape

CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.

About Author
About Author
Nancy is a successful finance, crypto analyst and content writer with many years of writing experience finance and blockchain fields. Nancy has been producing quality content for websites in the cryptocurrency industry including Krptotrends, Forexcrunch, InsideBitcoins and Economywatch. She is a Certified Cryptocurrency Expert (CCE) from Blockchain Council. Her interests are in cryptoasset research and technical analysis, Fintech, Blockchain, DeFi, NFTs and Personal Finance. Follow her on X@NancyOmanga for more insights
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.