(MENAFN- Daily Forex) Bullish View
Buy the BTC/USD pair and set a take-profit at 105,000. Add a stop-loss at 100,000. Timeline: 1-2 days.
Bearish View
Sell the BTC/USD pair and set a take-profit at 100,000. Add a stop-loss at 105,000.
Bitcoin price resumed its strong trend amid strong demand for the coin and as concerns about supplies remained. The BTC/USD pair rose to over 103,000 as it neared its all-time high.
Top
Forex Brokers1 Get Started 74% of retail CFD accounts lose money
Bitcoin Demand is Rising
The BTC/USD price continued soaring as demand for the coin continued rising. The most visible sign of this demand is the ongoing inflows in spot Bitcoin ETFs. Data shows that these funds have seen inflows in the last fifteen straight days, the longest streak since they started trading in January.
Another sign of rising demand is MicroStrategy, which has continued to buy these coins this year. Data shows that the company now holds over 423,650 coins worth over $43 billion. Chances are that it has continued to accumulate these coins.
Other companies like Semler Scientific, Marathon Digital, and Riot Platforms have continued to accumulate these coins.
At the same time, there are odds that most Bitcoin holders don't plan to sell any time soon. Data shows that liquidity in the industry has continued falling this year, with the supply in exchanges continuing falling.
The next key catalyst for Bitcoin will come out on Wednesday when the Federal Reserve concludes its two-day meeting. Analysts expect the bank to continue cutting rates, a move that will be positive for risky assets.
The Fed will likely cut rates because of the labour market, which has deteriorated recently. The unemployment rate rose to 4.2% in November even as the economy added over 200k jobs/USD Technical Analysis
The daily chart shows that the BTC/USD pair has been in a strong bull run in the past few months. It has remained above the 50-day and 100-day Exponential Moving Averages (EMA).
The Relative Strength Index (RSI) and the MACD indicators have formed a bearish divergence pattern. Another risk is that it has formed a rising wedge chart pattern, a popular bearish reversal pattern.
EURUSD Chart by TradingView
Therefore, Bitcoin may experience some short-term volatility in the coming days. If this happens, the coin may drop to the next point at $100,000. The alternative scenario is where it pierces the upper side of the wedge and continues rising as bulls target the psychological point at 105,000.
Ready to trade our
free Forex signals
on Bitcoin? Here's our list of the best
crypto brokers
worth looking at.
MENAFN16122024000131011023ID1108998904
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.