|

Bitcoin Price Forecast: BTC gets support from two angles and heads back to $17,000

  • Bitcoin price sees tailwinds coming in from equities and a weaker US Dollar.
  • BTC could see the bearish sentiment being countered and even overtaken by bulls.
  • Expect to see $17,000 later this week in a mild grind higher.

Bitcoin (BTC) price was trading mostly sideways over the weekend as bulls were able to refrain bears from touching base again at $16,000. With the unofficial last week of trading starting, BTC sees tailwinds coming in from several angles as bulls are putting a floor underneath the price action. Expect to see a mild grind higher if this sentiment continues to wither throughout the week for the big cryptocurrency.

Bitcoin sees some buying interest arising 

Bitcoin price is getting underpinned after a very muted weekend where bears and bulls were quite balanced. As the dust settled over the weekend after the most eventful week of 2022 in terms of central bankers, bulls are getting the chance to thrive in a much calmer market. After a really busy week, most central bankers will already be shopping for Christmas, so the real market-moving elements should decrease this week.

Bitcoin sees some support and tailwinds coming in from equities in the green on Monday, while the US Dollar is substantially weakening, flirting with the highs of past Friday in the EUR/USD price action. These two elements are triggering some buying in risk assets across the board. If this sentiment continues, expect BTC to grind higher toward $17,000 in the coming days. 

BTC/USD daily chart

BTC/USD daily chart

Risk to the downside comes with these two supportive tailwinds that could easily flip into headwinds should a selloff occur. If the stock markets start to sell off, that will go hand-in-hand with a stronger US Dollar, making it a double whammy of bearish pressures BTC is facing. A dip towards $16,400 would materialise, with a big risk of follow-through towards $16,020 as a magnet pulling price action down.

Author

Filip Lagaart

Filip Lagaart is a former sales/trader with over 15 years of financial markets expertise under its belt.

More from Filip Lagaart
Share:

Markets move fast. We move first.

Orange Juice Newsletter brings you expert driven insights - not headlines. Every day on your inbox.

By subscribing you agree to our Terms and conditions.

Editor's Picks

Ripple faces persistent bear risks, shrugging off ETF inflows

Ripple is extending its decline for the second consecutive day, trading at $2.06 at the time of writing on Friday. Sentiment surrounding the cross-border remittance token continues to lag despite steady inflows into XRP spot ETFs. 

Luna Classic soars 20% as Do Kwon's sentence hearing looms

Luna Classic surges 20% on Friday, extending its recovery for the fourth consecutive day. Roughly 959 million tokens have been burned in December so far, fueling LUNC's recovery.

Crypto Today: Bitcoin, Ethereum, XRP pare gains despite increasing hopes of upcoming Fed rate cut

Bitcoin (BTC) is steadying above $91,000 at the time of writing on Friday. Resistance at $94,150 capped recovery on Wednesday, but in the meantime, bulls have contained downside risks above $90,000. 

Ethereum strengthens against BTC post-Fusaka, targeting $3,200 breakout

Ethereum trades above $3,100 on Friday, with bulls aiming for a breakout above a two-month-old resistance trendline. Ethereum gains strength against Bitcoin as demand for the major altcoin increases after the Fusaka upgrade.

Orange Juice Newsletter – Smart insights by real people. Every day.

A free newsletter highlighting key market trends to help traders stay a step ahead. Daily insights on the most relevant trading topics, compiled by our experts in an easy-to-read format so you never miss an important move.

Crypto Today: Bitcoin, Ethereum, XRP pare gains despite increasing hopes of upcoming Fed rate cut

Bitcoin (BTC) is steadying above $91,000 at the time of writing on Friday. Resistance at $94,150 capped recovery on Wednesday, but in the meantime, bulls have contained downside risks above $90,000.