Long-term prediction of the Bitcoin price: range
The Bitcoin (BTC) price is still trending favorably despite trading in a narrow range. It is currently trading above the 21-day simple moving average but below the $44,700 level. Resistance at $44,000 has slowed down the upward movement. On December 26, the bears dropped below the 21-day simple moving average, but the bulls bought the dips. BTC price has recovered above the 21-day SMA but remains below $44,700. The uptrend that started on December 27 was short-lived as Bitcoin turned lower at $44,000.
Bitcoin stalled around the $44,000 resistance level. Once it breaks above the $44,700 resistance, Bitcoin will enter a bullish trend zone and reach a high of $48,000. However, if the bears break above the 21-day SMA and negative momentum continues, Bitcoin will fall below the 50-day SMA or to a low of $40,400.
Bitcoin indicator reading
BTC has been consistently trading above the 21-day SMA to avoid a dip to the downside. Currently, the bears are attempting to break the 21-day SMA. If they succeed, the current rally will come to an end. Selling pressure has eased above the moving average lines, indicating that the sideways trend will continue.
Technical indicators:
Key resistance levels: $35,000 and $40,000
Key support levels: $30,000 and $25,000
What is the next direction for BTC/USD?
The sideways trend could continue if the price returns above the moving average lines. Currently, Bitcoin is trading in a limited range between $41,600 and $44,000. The resistance at $44,000 has been preventing further upward movement since December 20. If Bitcoin fails to break through the $44,700 resistance level, it is at risk of a decline.
Hot Take: Bitcoin’s Price Continues to Trade in a Narrow Range
The Bitcoin (BTC) price has been trading in a narrow range, with resistance at $44,000 slowing down its upward movement. Despite this, BTC is still trending favorably and trading above the 21-day simple moving average. The next direction for BTC/USD depends on whether it can break through the $44,700 resistance level and enter a bullish trend zone. Technical indicators suggest key resistance levels at $35,000 and $40,000, while key support levels are at $30,000 and $25,000. Bitcoin’s price will continue to be influenced by market dynamics and investor sentiment.
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