BTC Price Analysis: Bitcoin Consolidates After Weekly Correction, But Big Move Awaits – Where?

By Michael Fasogbon
Published December 24, 2020 Updated December 24, 2020
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BTC Price Analysis: Bitcoin Consolidates After Weekly Correction, But Big Move Awaits – Where?

By Michael Fasogbon
Published December 24, 2020 Updated December 24, 2020


Key Highlights:

• Despite latest Ripple losses, Bitcoin continued to stay bullish as it holds above $23000 since yesterday
• It failed to resume bullish after failing to surpass the current $24300 high level.
• A liquidation below the $21864 support level would trigger further correction to $20000

Bitcoin [BTCUSD] Price Analysis

Bitcoin is yet to find another major movement above $24300 (current ATH) since it saw a sharp correction to around $21864 this week. Although the price bounced back above $23000 level yesterday and it has since held the mentioned level as support. Bitcoin gained 13.8% over the last 7 days as it trades around $23608 at the time of writing.

The market structure shows that the trend is still bullish on the current 4-hours chart. Though the trend is slightly bearish on the MACD and the RSI indicators, but we can expect a continuation if their mid-levels provides strong support.

BTC/USD – 4H Chart

Apart from the recent $21864 correctional level, Bitcoin has further pushed supports at $22327 and $22930 (now acting as daily support). These pushes indicate more potential price increase for the leading cryptocurrency. Today, it attempted to break even but failed at $24096 level (on Bitstamp).

If Bitcoin takes another big shot above its current high, a new resistance may come subsequently around $24550, $24770 and $2990 levels. A surge above $25000 level could set another parabolic move towards $30000 in no time. However, there’s a close resistance at $23824 level.

But looking at the trend on a higher time frame, Bitcoin is trading in the RSI overbought zone, which suggests a potential sell signal. For now, it is still under bulls’ radar.

Key Indicators: RSI and MACD

Key Resistance Levels: $23824., $24000, $24300
Key Support Levels: $22930 $22327, $21864

Spot Rate: $23608
Price Change: 1.38%
Trend: Bullish
Volatility: Moderate


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Disclaimer
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
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