Weekend volatility in the cryptocurrency market is becoming a highly expected event, where mostly the price of Bitcoin and other Top 10 coins shoot in prices, or dip 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 retracing back to USD 23,000. Is the price being pumped only to get dumped soon?
Bitcoin Price Prediction – Uptrend 2.0
Ever since Bitcoin managed 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 a 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.
Will Bitcoin fall again like in 2017?
It is hard to predict assets with prices around their all-time high. But one thing is certain, which is the general consensus around cryptocurrencies. Big financial institutions are on board, HNWI has a big chunk of cryptos in their portfolios, and many banks changed their stances towards Bitcoin in particular.
Also, contrary to 2017, the price is on “trend 2.0” post 20k (figure 1), whereas in 2017, the price directly dipped strongly instead of establishing its support levels.
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.
The Cryptocurrency Market
In the past 24 hours, the whole cryptocurrency market was up, with Bitcoin Cash and Litecoin leading the charts:
1- Bitcoin (BTC) : + 2.06 %
2- Ether (ETH) : + 0.11 %
3- Ripple (XRP) : + 1.22 %
4- Tether (USDT) : 0 %
5- Litecoin (LTC): + 9.56 %
6- Bitcoin Cash (BCH) : + 10.42 %
7- Chainlink (LINK) : – 1.35 %
8- Cardano (ADA) : – 1.15%
9- Binance Coin (BNB): + 6.79 % (surpassing Polkadot)
10- Polkadot (DOT) : – 0.64 %
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