|

Bitcoin price correction is not over suggest on-chain metrics, BTC bears target $13,000

  • Bitcoin price has suffered a mild sell-off in the past 24 hours but managed to recover.
  • Bitcoin could be on the verge of a massive pullback because of the increased selling pressure from Mt. Gox.

Mt.Gox was the biggest cryptocurrency exchange back in 2014 but got hacked and lost more than 150,000 BTC total. There is a rehabilitation plan set by December 15 which could potentially release the entire stack. This possibility might have been the cause of the recent sell-off, however, this plan will most likely not come to fruition until months later.

Bitcoin price could target $13,000 before resuming long-term uptrend

On the monthly chart, Bitcoin has established a long-term trendline support that is currently located at around $13,000 in case of a sell-off. Many analysts have stated that this level could be a potential target for the flagship cryptocurrency after topping out at the last all-time high.

btc price

BTC/USD monthly chart 

The most recent weekly report by Glassnode also states that Bitcoin may need to see a correction before a sustained move above $20,000. BTC bears seem to be generating a lot of selling pressure in the short-term as Bitcoin established a potential double top on the monthly chart. 

Additionally, it seems that the number of older coins moving is increasing which generally indicates that investors are looking to sell and realize profits. This is yet another factor in favor of BTC bears in the short-term.

However, Willy Woo, a popular analyst on Twitter, still believes Bitcoin is poised to hit $200,000 by the end of 2021 and up to $300,000, stating that his initial prediction might be conservative and that the current market has paid around $7,456 on average per coin.

btc price

BTC/USD 4-hour chart

On a shorter time frame like the 4-hour chart, the TD Sequential indicator has just presented a buy signal that seems to be getting bullish continuation after defending the 200-SMA as a support level. Bitcoin bulls aim for $19,000 as a rebound price.

Author

Lorenzo Stroe

Lorenzo Stroe

Independent Analyst

Lorenzo is an experienced Technical Analyst and Content Writer who has been working in the cryptocurrency industry since 2012. He also has a passion for trading.

More from Lorenzo Stroe
Share:

Editor's Picks

Official Trump Price Forecast: TRUMP hits record low amid mounting selling pressure

Official Trump hovers around $1.2500, taking a breather after a 20% drop the previous day. TRUMP token’s decline aligns with Republicans' defeat in the US midterms. Positional buildup in TRUMP derivatives suggests a more bearish bias among traders, while the technical outlook reaffirms the potential for further downside as selling pressure persists.

Ripple and Stellar outlook: XRP and XLM extend recovery as bears lose steam

Ripple and Stellar extend their recovery as bearish pressure begins to ease for both altcoins. XRP trades above $1.30 after breaking above the upper trendline of a falling channel pattern, while XLM holds above $0.168 and approaches resistance at $0.173. Meanwhile, improving derivatives metrics and strengthening momentum indicators hint at a potential for further recovery.

Dogecoin Price Forecast: Rebound gains traction as bulls target key resistance trendline

Dogecoin shows signs of recovery, hovering above $0.0770 after two consecutive days of gains. The meme coin gains traction despite muted appeal from institutional investors and declining Open Interest. The technical outlook for DOGE suggests an upside bias as the recovery gains traction, hinting at a potential bullish breakout of a key resistance trendline on the four-hour chart.

US Democrats plan new Crypto Market Structure bill after midterm wins

House Democrats are reportedly discussing plans to introduce a broader crypto market structure bill in the next Congress, potentially reviving provisions they unsuccessfully sought to include in the Digital Asset Market Clarity Act.

Bitcoin: Binance security breach and hawkish Fed push BTC lower
Bitcoin (BTC) continues to weaken this week, down more than 3% and heading for its fourth straight weekly loss. The largest cryptocurrency by market capitalization is facing a bearish outlook, fueled by a hawkish Federal Reserve (Fed) outlook at the October meeting and a reported $6.3 billion hack at Binance, which is driving risk aversion and triggering heavy liquidations.