Weekend volatility in the cryptocurrency market is shifting to a highly expected development, where principally the price of Bitcoin and other Top 10 coins shoot at prices or drop sharply back to resistance levels.
This weekend on the 19th of December 2020, Bitcoin breached the USD 24,000 price barrier for a brief 2 hours, before backtracking to USD 23,000. Is the price being pumped only to get dropped soon?
Bitcoin Price Prediction – Uptrend 2.0
Ever since Bitcoin achieved to break the USD 20,000 price barrier, it seemed as if there was a new steady uptrend forming above that 20k blockade. That area represents a strong psychological price, that acts as brawny support. If there’s any retracement, the price is expected to rebound around that area, and any strong break of that area signals a worrisome fall in prices back to previous support areas.
Fig.1 BTC/USD 1-Hour chart – a steady uptrend forming above 20k – TradingView.com
Will Bitcoin fall again like in 2017?
It is hard to forecast assets with prices around their all-time high. But one thing is certain, which is the consensus around cryptocurrencies. Big financial institutions are on board, HNWI has a big chunk of cryptos in their portfolios, and many banks changed their positions towards Bitcoin in particular.
Also, opposed to 2017, the price is on “trend 2.0” post 20k (figure 1), whereas in 2017, the price directly dipped firmly instead of establishing its support levels.
Fig.2 BTC/USD 1-Week chart – a contrast between 2017 and 2020 – TradingView.com
If there will be a potential retracement, it will extend over 1 week with red prices all over, giving ample time for investors or traders to exit their positions.
Elon Musk Tweets About Bitcoin!
Elon Musk, the founder of Tesla, SpaceX, and other ventures, posted a meme on Twitter about Bitcoin’s price rise. It depicts BTC’s bull perception, disturbing people, and playing in their heads, making them consider buying BTC!
This tweet might be thought a bit of a taboo for religious folks out there, but hey, it’s his personal view on the matter, represented in a controversial photo.
Here’s a similar Elon-type humor from Tesla’s CEO himself:
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