Starting this month on a bullish note, Bitcoin’s price will likely climb back to $20k in the coming weeks. The price touched $17320 yesterday, dropped briefly, and charged back – a potential recovery lies ahead.
The aftermath of the FTX saga caused a lot of FUD in the crypto market, as Bitcoin dramatically crashed to $15476 on Binance, losing almost 30% of its value in a week.
Following the latest sentiment, which seemed to have brought back a nice recovery in the market, Bitcoin may correct back to last month’s drop level of $20,000 before it starts to drop again – that is, if it fails to climb higher.
After the price recovered from the crash level in mid-November, Bitcoin traded sideways as the price steadily recovered. The $17200 resistance level, which held strong for days, appeared to have posed threats to the bulls again.
Yesterday, Bitcoin attempted to break this resistance but failed due to rejection. The bulls are charging at this resistance at the moment. It could break this time if they show strong commitment.
However, if the price falls back to the crash level, Bitcoin may find it difficult to bounce back as the bear may take advantage of it.
It now held the $15500 and $17200 levels as support and resistance. If BTC eventually breaks, a huge price movement is likely to occur.
Bitcoin Price Analysis (BTCUSDT): 4-Hour Chart
Before Bitcoin can recover to $20k, it would need to overcome many resistance levels. Let’s consider some levels for Bitcoin if it breaks from this tight range.
Surging above the $17200 level, which is quite important for now, should trigger buying towards the $17632 and $18186 levels. Once it flips these mentioned levels, the next target would be $18750.
While the price is still trading inside the range, the closest support for Bitcoin is $16600 in case of a drop. There’s also support at the $16000 level. The last support lies at $15500. A break below this range could dip the price to $14k in a blink.
Key Resistance Levels: $17,200, $17,632, $18,186
Key Support Levels: $16,600, $16,000, $15500
- Spot Price: $17000
- Trend: Neutral – Bearish
- Volatility: Moderate
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
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