BTC has already broken over a big resistance level of $17,200, and as long as closing candles remain above this level, BTC will remain positive. This is why the Bitcoin price forecast for Monday is optimistic.
The Bitcoin to US Dollar exchange rate started trading on December 5 at $ 17,128 and has increased by more than 2% to reach $17,398 since then.
The price of bitcoin as measured in US dollars has been fluctuating between $17,420 and $16,096 recently. In addition, throughout the course of the last week, its value has climbed by close to 6%.
Let’s have a look at the most important basic factors that are now influencing the price activity.
BTC Whales Reaches 2-Year Lows
The on-chain alerts platform Glassnode tweeted out some Bitcoin data on December 4, indicating a decline in the number of Bitcoin whales. According to the information provided in the report, there are 1,665 fewer Bitcoin whales now than there were two years ago. On November 22 of this year, 1,671 was the previous low point in the series.
Additionally, Glassnode tweeted that Bitcoin’s transaction volume (7d MA) has fallen to a new low for the last two years, coming in at $260,626,928.14. The 30th of November was the previous low point.
In most cases, a fall of this kind indicated that whales were selling their blubber or that there was a large decrease in demand from whales. Traders, on the other hand, may continue to enjoy favorable momentum if whales restart their interest in BTC.
The present price level of Bitcoin to US Dollar suggested strong consolidation to sustain the gain in price, despite the fact that it was stated that whale interest had decreased.
At this moment, one Bitcoin is worth $17,228 and has a trading volume of $21 billion during the last 24 hours. Over the course of the past day and a half, the BTC/USD pair has advanced by more than 1.5%. Additionally, throughout the course of the previous week, its price rose by around 6%.
The Bitcoin to US Dollar exchange rate pushed beyond the $17,250 barrier, therefore escaping the confines of a tight trading range that extended between $16,800 to $17,250. The RSI and MACD indicators have both moved into positive territory, and BTC’s 50-day moving average is providing further support for the current price of $16,800.
On the bright side, Bitcoin is coming closer to the next level of resistance, which is located around $17,650; if it can break over this level, it would open the door for BTC to trade above $18,000. On the 4-hour timescale, Bitcoin made a bullish engulfing candle slightly above an upward trendline level of $17,000. This indicates that buyers have control of the market.
A break below this level would expose Bitcoin to the $16,450 level, which is a 61.8% extension of the Fibonacci sequence, and further down, Bitcoin might aim for the $16,600 level, which is a 50% extension of the Fibonacci sequence.
On the other side, if the resistance level around $17,250 is breached in a positive manner, Bitcoin could be able to trade at levels as high as 17,650 and $18,100.
Compiled by Coinbold