Bitcoin Price Prediction: Will BTC be able to reclaim $20,000 by the end of December?
- BTC formed a bearish hammer candle that rejected the $18,000 mark
- Higher candles are formed on a weekly basis
- Supertrend generated a buy signal in a 4 hour time frame.
Bitcoin had been dominated by the bears in the previous months, but in the current month, BTC gained some buyer confidence and could trade above $17,500, which is either a dead bounce or short-term trend reversal. As of now, the strongest obstacle for the bulls will be the $18,000 mark. Over the past 24 hours, BTC was mildly negative by 0.62%, and its 24-hour volume to market value was 0.0759.
Will the bulls break out the $18,000 mark?
On a weekly time frame, BTC had consolidated over the past 6 months within the range of $18,000 to $25,167. Recently, due to the FTX collapse, BTC broke its lower range with a large bearish candle and fell below an important support price level of $18,000 and reached a 2-year low of $15,460. Over the past few weeks, bulls formed relatively small bullish candles and recovered almost 13% from recent lows.
Daily timeframe narrative
On a daily time frame, BTC had been slowly and steadily on its way up and approaching $18,000. In the previous session, bulls attempted to trade above $18,000 but were rejected from higher levels by forming a bearish hammer candle indicating that bears are active at higher levels. As of now, BTC is expected to trade in the range between $17,000 to $18,000 for the coming sessions. If bulls succeed in trading above $18,000, we could see a massive upside move towards $20,000 in the short term.
4 hour time frame
In a 4 hour time frame, BTC has been in a tight consolidation area, but in the previous session it had attempted to maintain above $18,000, but unfortunately, the Fed rate hike may have negatively impacted the BTC/USD price. The super trend indicator had generated a bullish signal in the last few hours and prices are still trading above the green line indicating that prices may remain bullish in the short term.
Summary
After analyzing BTC in several timeframes, prices look slightly bullish, but the overall position trend is still bearish, so aggressive traders can take risks and look for buying opportunities just above $18,000 for the $20,000 target. Until the price level stays below $18,000, it is expected to trade in the range between $16,500 to $18,000.
If prices fall below $16,000, we could see further downside towards $14,000 and below in the short term.
Technical levels
Resistance levels: $18,500 and $20,000
Support levels: $17,000 and $16,500
Disclaimer
The views and opinions expressed by the author or any person mentioned in this article are for informational purposes only and do not constitute financial, investment or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while graduating. A keen observer of detail, he shares his passion for writing alongside being a developer. His backend knowledge of blockchain helps him bring a unique perspective to his writing
