Bitcoin Completes 61.8% Fibonacci Retracement – What’s Next? - Forex News by FX Leaders
Bitcoin - BTC/USD Chart

Bitcoin Completes 61.8% Fibonacci Retracement – What’s Next?

Posted Wednesday, December 8, 2021 by
Arslan Butt • 2 min read

The BTC/USD ended the day at $50,634.0, having reached a top of $51,969.0 and a low of $50,102.0. BTC/USD extended its upward trend for the third session in a row, recouping about half of its Saturday’s loss. Cryptocurrencies have seen massive adoption from corporate and ordinary investors in recent years. Adoption is also expanding daily as more people seek access to Bitcoin and other cryptocurrencies.

According to a recent Grayscale Investment Survey, around 26% of US households currently own BTC. A comparable analysis conducted last year indicated that BTC was held by 23% of US households. The survey was performed among 1,000 households, and the findings revealed that most investors were investing in Bitcoin for the long run.

 

BTC/USD
The number of residences in the United States who own cryptocurrencies has climbed by 3% in the last year, and the cause has been attributed to the country’s high inflation levels, which have led more investors to seek access to BTC and other cryptocurrencies. This survey report pushed BTC/USD higher, helping it reclaim the $50,000 milestone.

Following the recent price drops, BTC plummeted below $50,000 as the leading cryptocurrency sank by $16,000 in a matter of hours to a 2-month low of $42,000. As the cryptocurrency regains $50,000, the crypto market cap recovers $200 billion in a single day. Meanwhile, Craig Wright, an Australian computer scientist who claims to be bitcoin’s inventor, has won a multibillion-dollar legal battle in the United States. He testified in a civil trial against the family of a deceased business partner, who claimed ownership of half of a cryptocurrency wealth worth tens of billions of dollars.

Bitcoin’s price has continued to rise beyond the $50,000 resistance level. BTC has even reclaimed the $50,500 and $51,200 barrier levels. However, the price could not break over the $52,000 resistance level. A high near $51,955 was achieved, and the price is presently reversing gains. Underneath the $51,000 support level, there was a break. The price fell below the 23.6 percent Fib retracement mark of the upward run from the swing low of $47,210 to the high of $51,955.

On the hourly timeframe of the BTC/USD pair, there was also a breach below a connecting bullish trend line with support near $50,800. The pair is currently trading over $50,000 and the 100 period SMA.

Bitcoin - BTC/USD Chart

A primary barrier is near the $51,000 mark on the bullish side. The next significant resistance is staying near the $51,800 level. A decisive break above the $51,080 resistance level could allow more gains. The next major hurdle is near $52,000, beyond which the price might soar even more. In the scenario above, the price may jump to $53,500.If bitcoin fails to break through the $51,800 resistance level, it may continue to fall. There is immediate support near the $50,000 mark on the higher side. The first significant support is building between $49,500 and the 100 hourly SMA. It is close to the 50% Fib retracement level, and upwards advances from the swing low of $47,210 to the high of $51,955. A break below the $49,500 support level may boost selling pressure. The bears’ next target could be $48,000.

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