Currently in range, Bitcoin (BTC) price is slowly but surely trying to move towards $22,000. Indeed, buyers are trying to hold on to the rise that started on Monday morning. Unfortunately, the sellers were quick to respond on Wednesday, sending the price back to the $19,788 support. Despite the bulls fighting back, yesterday’s daily candle closed in red. These volatile movements show that all investors are trying to pre-position themselves for the next stage during the last quarter of the year. Bitcoin (BTC) could become very bullish, or even very bearish over the past three months.
Bitcoin (BTC) remains in range
Bitcoin (BTC) price is likely to start a strong trend after the current range. However, its direction is unpredictable as both bears and bulls attempt to dictate the direction of the trend. Both scenarios are all likely as each side tries to put pressure on.
On the one hand, there has been no real change in the current bear market. Which likely heralds further declines to lower levels around $18,800.
On the other hand, the bulls have shown some signs of fighting back over the past few days. Exceeding key levels like $22,000 could mean the end of the Bitcoin (BTC) range.
Bitcoin price recently reacted on the 55-day moving average at $20,445. Indeed, this indicator served as resistance preventing any bullish attempt.
Moreover, the bears are also accumulating large short positions since $25,000. Most of these orders are still open.
Thus, one would expect the price of Bitcoin to break out of the range and fall to $19,000. Or worse, the king could drop as low as $16,000 as geopolitical risks remain high.
An increase soon?
The bulls’ camp is attracting attention, however. Indeed, many of the Fed’s tightening measures have been taken into account to date. Thus, it could be that the US dollar begins to pull back, i.e. fall. This therefore leaves a certain margin for the price of Bitcoin to increase.
The markets have suffered the consequences of the current monetary policy. But it looks like the situation is improving, and stocks are starting to recover. If this scenario continues, Bitcoin could break above the daily 55MA and break out of the current range. In such a case, the price could reach $22,000, or even $23,878 for the coming weeks.
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