Bitcoin (BTC) is back at $ 57,000 as a new week begins after a late rally produced a much better weekly close than many expected.
To offset last week’s coronavirus-induced sell-off and the associated drop in prices, Bitcoin topped $ 58,000 overnight before consolidating higher, still about 5.7% on the day.
The outlook might surprise many – the coronavirus nerve remains as pre-opening macros suggest, and sellers still have an opportunity to take advantage of the optimists given recent gains.
With everything to play with and a month-end closing in less than 48 hours, Cointelegraph will take a look at the numbers to see what could affect Bitcoin’s price action this week.
Bitcoin is rising again in record time
Just three days after losing $ 6,000 on a daily candle, BTC price action has returned from the abyss.
On the classic weekend, BTC / USD recovered and reached a weekly close of 57,300 USD on Bitstamp – and was thus able to avoid such a low weekend price in two months.
Profits have stayed since then, with $ 57,000 still in focus at the time of writing on Monday.
In a new analysis, prominent trader and analyst Rekt Capital found that the 21-week exponential moving average (EMA) at USD 52,500 as a “bull market indicator” offers support.
“BTC strong reaction from the 21-week EMA area,” he said summary.
However, despite a local high of $ 58,300, Bitcoin has yet to make a clear breakthrough as the key resistance at $ 60,000 remains untouched.
All previous attempts to break this selling zone since losing it to support have ended in solid rejection.
BTC 4 hours (linear):
Parallel channel pic.twitter.com/pqrEfHQoHr
– Nunya Bizniz (@Pladizow) November 29, 2021
The surge took some by surprise, data shows, with liquidations totaling nearly $ 300 million in the past 24 hours.
The funding rate, which was neutral on Sunday, has also risen in the meantime, signaling a return to optimism about a credible – and risky BTC price recovery.
“All you need is a daily + 7% candle to allay all fears and worries about a new BTC bear market”, Rekt Capital Add.
BTC / USD, he speakIt is “doing well” as it approaches the end of the month on late Tuesday.
Coronavirus and the March 2020 repeat
The macro markets expect a turbulent start to the week as the new Coronavirus variant Omicron continues to mislead the mood.
“We really need a few more answers to understand the impact on growth,” Priya Misra, director of global interest rate strategy at TD Securities, told Bloomberg on Monday.
“Risk-weighted assets price in uncertainty.”
Last week was marked by massive volatility across the board as Bitcoin and Altcoins stocks, oil and others followed in a lightning sell-off.
Asian markets are likely to continue their trend on Monday open, falling 1-2% at press time.
With the rise of Bitcoin, any further disruption to macrostructures is likely to thwart the newfound optimism.
The bulls are hoping the scenario will play out similar to March 2020, when a cryptocurrency cross as the coronavirus hit the world stage then caused a surge that dwarfed the previous high price level.
Many people seem to be scared of another Bitcoin liquidation event in March 2020. Keeping your own keys and not using leverage makes it a trivial matter to get straight, stay humble, and pile up
– ODELL (@ODELL) November 28, 2021
Bitcoin didn’t get out of its invulnerability last week, however, as some familiar faces lined up to express contempt for what they didn’t think wasn’t an escape from risk.
“Less risk does not make Bitcoin secure”, golden old man Peter Schiff To discuss Sixth, it is predicted that bitcoin will eventually become “as risky as any altcoin”.
$ 50,000 echoes $ 30,000 ground
Those concerned about a retreat from current levels may not need to look too far away from the BTC price table.
A massive buywall has now been erected that will keep the market above $ 50,000, according to the latest order book data from analytics resource Material Scientist.
The stakes can be high as several said this weekend that if they fail to maintain this level they will reconsider their approach to Bitcoin, but given the sheer size of the support, it is now less likely.
“I’m not sure why you’re all so scared,” materials scientist summary on Twitter Sunday.
“This is the highest bid since the 30,000 low.”
If such $ 50,000 is a new $ 30,000, it would rate the current retracement from the all-time high as modest compared to others – especially the nearly 50% decline in May.
Meanwhile, as the materials scientist progressed, he noticed something unusual – the same agency that was responsible for the level of support also set the resistance at USD 70,000.
“Essentially, one player has the entire market at hand,” he explains.
“You knew a month in advance how the whole thing was going to play out.”
Thus, $ 70,000 is a major focus for bulls aiming to continue the bull cycle before the end of the fourth quarter of 2021.
Upcoming D-Day for three Bitcoin price correlations
The next few weeks will be very “chatty” for Bitcoin as it makes or breaks some important correlations.
That is the conclusion of popular Twitter analyst TechDev over the weekend as Bitcoin goes on Reproduce The journey of gold since the 1970s.
The eerie, even eerie similarities between BTC / USD in 2020-21 and XAU / USD fifty years ago persist despite some volatility anomalies in Bitcoin price action.
If the trend continues, Bitcoin will experience a strong rally, with prices climbing towards $ 280,000. Deadline: mid-February 2022.
“The 1970 gold fractal is now properly aligned and pinned to both local highs and lows,” commented an update on events.
“Only December / January is affected, with the pattern extending into the first half of February.”
The accompanying breakdown of every expected phase of Bitcoin’s metamorphosis since September suggests that this month is out of forecast. In December there will be between $ 70,000 and $ 110,000 in BTC / USD.
Next to gold and that is the crucial Fibonacci sequence two more correlations Face the moment of truth in the weeks ahead.
Both of these have to do with Bitcoin’s relationship with its 2017 performance, and both are still valid so far. If one side wins the other, the rate and magnitude of the price increase will change accordingly.
A peak of around $ 150,000 could be reached as early as mid-December or, alternatively, $ 225,000 could appear in mid-February.
“Mid-December through late January with a peak of ~ 230,000 is still my base scenario,” TechDev wrote.
“Obviously the front of that window looks less likely. I didn’t care if it was true. I’ve seen hot work recommending a top mid-December through mid-March with a goal of 120,000-260,000. ”
In response to the praise of Global Macro Investor Founder Raoul Pal, he added that the coming weeks will be “chatty” for all three correlations.
Where will Bitcoin “Moonvember” end?
In the past, this was the question everyone was talking about – but now there is widespread acceptance that this bull market can last longer than intended.
Related: Top 5 Cryptocurrencies You Should See This Week: BTC, BNB, LUNA, MANA, SAND
Nonetheless, there remains short-term optimism.
In a poll on Twitter by @Bitcoin At the end of Monday, the majority of the nearly 50,000 respondents predicted that BTC / USD will end above $ 60,000 in November.
35% chose the highest possible price in the survey, and another 25.7% forecast a November closing price of between $ 55,000 and $ 60,000.
Without zooming out, it’s easy to forget how far Bitcoin has come in the last 12 months. As Cointelegraph noted, BTC / USD traded at just under $ 16,500 on Thanksgiving last year – which conveniently also saw a brief sell-off -.
As a quantum analyst Benjamin Cowen summary This weekend “don’t miss the forest for the trees”.