Bitcoin (BTC) Price Analysis: Bulls Pay 42583 Technicals Again – 20 December 2023
Bitcoin (BTC/USD) is showing signs of renewed upward momentum, surpassing the 42583.04 level. This level represents a 23.6% retracement from the previous range. The positive momentum is strong around the 40508.01 level, indicating a buying pressure between the 34758 and 36342 levels. The recent high of 45000 tested the 45278.22 level, which is an upside target based on historical advances. Further upside targets include 46105, 46487, and 49161, with potential stops cited. However, there are short-term downside risks, with support levels at 40185 and 38773.
During the recent pullback, selling pressure triggered stops below several key technical levels, including 43044, 42583, 42159, 41835, 41087, 40619, and 40413. Support and potential buying pressure can be found at 38998, 38028, 37321, and 35285. Currently, the 50-bar MA (4-hourly) is indicating a bullish signal above the 100-bar MA (4-hourly) and 200-bar MA (4-hourly). However, the 50-bar MA (hourly) is showing a bearish signal below the 100-bar MA (hourly) and 200-bar MA (hourly).
Price action is closest to the 50-bar MA (4-hourly) at 42182.49 and the 200-bar MA (hourly) at 42161.27. Key support levels to watch are 37392.45, 36720.55, and 35633.00, with expected stops below. On the other hand, resistance levels are at 46487.10, 47108.16, and 48240.00, with expected stops above. Looking at the technical indicators, the SlowK is above SlowD on the 4-hourly chart, while the MACD is also above the MACDAverage. However, on the 60-minute chart, the SlowK is below SlowD, while the MACD is above the MACDAverage.
Hot Take: Analysis Indicates Bullish Momentum for Bitcoin (BTC)
Based on the technical analysis, Bitcoin (BTC) is currently in a bullish phase. The recent pullback was just a test of support levels and the buying pressure around BTC/USD remains intact. The positive momentum and the upside price targets indicate that the bulls are in control. However, there are short-term downside risks to consider. Traders should closely monitor the support levels and be aware of potential stops. It is also important to keep an eye on the MA indicators for any changes in the market sentiment. Overall, the analysis suggests that Bitcoin (BTC) is likely to continue its upward trajectory in the near future.
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