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BTC/USD Analysis: Can $41,085 Pivot to Bullish Momentum?

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Arslan is an expert live webinar speaker and derivatives analyst, specializing in cryptocurrencies, Forex, commodities, and indices. He holds an MBA in Finance and an MPhil in Behavioral Finance from the University of Gujrat (UOG), Pakistan. With many years of experience in cryptocurrency and Forex trading, Arslan currently focuses on cryptocurrency price predictions and forecasts. Arslan has previously worked with several brokerage firms’ Forex and cryptocurrency trading teams, managing client exposure risk. Arslan has worked at CAPEX.com and NatureForex.com, among others.
By Arslan Ali Butt
author
Arslan is an expert live webinar speaker and derivatives analyst, specializing in cryptocurrencies, Forex, commodities, and indices. He holds an MBA in Finance and an MPhil in Behavioral Finance from the University of Gujrat (UOG), Pakistan. With many years of experience in cryptocurrency and Forex trading, Arslan currently focuses on cryptocurrency price predictions and forecasts. Arslan has previously worked with several brokerage firms’ Forex and cryptocurrency trading teams, managing client exposure risk. Arslan has worked at CAPEX.com and NatureForex.com, among others.
on December 18, 2023 | 2 min
Updated on Dec 18, 2023
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  • Bitcoin is currently trading at $41,086.93, facing downward pressure as indicated by an RSI of 36, pointing to a bearish market sentiment.
  • Key technical levels for BTC/USD include a pivot point at $39,753, resistance levels up to $45,438, and support levels as low as $34,068.
  • Potential exists for a bullish reversal, with chart patterns suggesting an uptrend is possible if Bitcoin sustains above the critical $40,500 mark.

In the ever-evolving landscape of cryptocurrency, Bitcoin continues to hold the spotlight, especially as its current valuation hovers around $41,086.93. With a significant trading volume of $18.69 billion in the past 24 hours, the premier digital currency has experienced a downward shift of 2.12%. Despite this recent dip, Bitcoin’s market capitalization stands robust at $804.20 billion, maintaining its top position in the CoinMarketCap rankings. The circulating supply of Bitcoin, gradually nearing its maximum limit, is currently 19,573,218 BTC out of the total 21 million.

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bitcoin graph dec 18
BTC/USD Price Chart – Source: Tradingview

Bitcoin Price Prediction: Technical Outlook

The 4-hour chart presents a revealing picture of Bitcoin’s technical posture. The pivot point is set at $39,753, providing a key threshold for the cryptocurrency’s short-term trajectory. Resistance levels are mapped out at $41,813, $43,379, and $45,438. These figures represent critical junctures that BTC needs to surpass to sustain a bullish trend. On the other side, immediate support levels are found at $38,147, followed by $36,128 and $34,068, serving as potential rebound points in a bearish scenario.

Analyzing the technical indicators, the Relative Strength Index (RSI) stands at 36, indicating a bearish sentiment as it resides below the midline of 50. This suggests that BTC is currently under pressure, potentially verging on oversold territory. The Moving Average Convergence Divergence (MACD) also aligns with this bearish outlook, marked at -119.36 against a signal of -297.33. However, the 50-Day Exponential Moving Average (EMA) at $42,161.6, currently above Bitcoin’s price, further complicates the forecast, introducing a possible bullish reversal if the price can sustain above the $40,500 level.

The chart patterns indicate an upward trendline supporting BTC around $40,150. The closure of candlesticks above this level is hinting at an uptrend, offering a glimmer of hope for bulls. This pattern suggests that while the immediate sentiment may seem bearish, there is potential for a turnaround should Bitcoin maintain its stance above key support levels.

In conclusion, the overall trend for Bitcoin appears to be cautiously bullish above the $40,500 mark. The short-term forecast anticipates that Bitcoin may test the resistance levels in the coming days, particularly if it sustains above the pivotal $40,500 zone. However, the mixed signals from the technical indicators necessitate a vigilant approach, as any significant breach below the current support levels could lead to a further dip, challenging the resilience of the BTC market.

Stay tuned for more updates!

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About Arslan Ali Butt
Arslan is an expert live webinar speaker and derivatives analyst, specializing in cryptocurrencies, Forex, commodities, and indices. He holds an MBA in Finance and an MPhil in Behavioral Finance from the University of Gujrat (UOG), Pakistan. With many years of experience in cryptocurrency and Forex trading, Arslan currently focuses on cryptocurrency price predictions and forecasts. Arslan has previously worked with several brokerage firms’ Forex and cryptocurrency trading teams, managing client exposure risk. Arslan has worked at CAPEX.com and NatureForex.com, among others.
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