Created on December 31, 2024

Bạn đang xem: Bitcoin at Key Support (Chart)

Bearish View

• Sell the BTC/USD pair and set a take-profit at 85,000.
• Add a stop-loss at 96,000.
• Timeline: 1-2 days.

Bullish View

• Buy the BTC/USD pair and set a take-profit at 100,000.
• Add a stop-loss at 85,000.

Bitcoin price remained under pressure, forming a head and shoulders pattern, even after major purchases by companies like MicroStrategy and Tether. The BTC/USD pair remained below 95,000, meaning that it has retreated by over 13% from its highest point this year.

Xem thêm : Forex Trading Day Review | 19th December 2024

Bitcoin fell even after MicroStrategy and Tether bought more Bitcoins, a sign of confidence for the coin. MicroStrategy bought 2,138 coins, bringing the total holdings to 446,400. Tether bought more coins, bringing the total holdings to 82,454. At the same time, spot Bitcoin ETFs continued seeing inflows.

Bitcoin fell because of the ongoing risk-off sentiment in the financial market. American stocks continued falling, with the Dow Jones index falling by over 300 points and the Nasdaq 100 dropping by 145 points. The US dollar index has continued rising, reaching a high of $108.25, its highest level in over two years.

Bitcoin has had a strong performance this year as it jumped by more than 100%. This performance was mostly because of the ongoing Federal Reserve interest rates. The bank cut rates by 1% this year and pointed to more gains in 2025.

Bitcoin also surged after Donald Trump won the election and promised to continue supporting the industry. He has already nominated Paul Atkins as the next head of the Securities and Exchange Commission (SEC). He is also assembling the first crypto and AI council, which will help to formulate policies.

BTC/USD Technical Analysis

Xem thêm : CSO urges FG to approve Forex benchmark for Hajj transactions

The daily chart shows that the price of Bitcoin has been in a downtrend in the past few days as the bullish momentum faded. On the positive side, the BTC/USD pair has found support at the 50-day moving average.

The accumulation and distribution indicator has continued rising, a sign that investors are adding to their positions. Also, the Smart Money Index (SMI) indicator has held quite steady in the past few days.

On the negative side, the BTC/USD pair has formed a head and shoulders pattern whose neckline is at 91,420. A break below that level will point to more downside, potentially to the next key support at 85,000.

Ready to trade our free Forex signals on Bitcoin? Here’s our list of the best crypto brokers worth looking at.