Daily Bitcoin Price Analysis: Sideways trend Continues Until the End of The Year?
After declining to $425 the Bitcoin price managed to rise to $437. It seems that on Christmas Eve trading activity decreases gradually.
After declining to $425 the Bitcoin price managed to rise to $437. It seems that on Christmas Eve trading activity decreases gradually. According to the expert Simon Dixon, CEO at BnkToTheFuture and Fund Manager at Bitcoin Capital, who has also written two books on the future of finance, in the next 24-36 hours, we can expect a levelling at $450.
Today the final data on the GDP in the United States for the 3rd quarter of the year will be published at 1:30 p.m. London time (GMT) and data on the volume of sales in the secondary market in November will be published at 4:00 p.m. London time. As we have already seen, the strengthening of the Dollar does affect the Bitcoin price, albeit a little later. The macroeconomic data published today may also strengthen the Dollar. According to the forecasts of investors, final GDP data for the third quarter will remain at its current level. The efforts of the labor market impacted on the welfare of the population and increased consumption, which affected the US economy favourably. Also, with the increase of mortgage lending the sales of real estate also grow. Thus, the Dollar’s position continues to strengthen, and to apply pressure on other currencies. Bitcoin is under pressure as well, however, it retains its growth potential.
On December 22, the Bitcoin resistance level is $450, while support levels are $420 and $425.
As we can now see the initial forecasts that Bitcoin will grow to $500 by the end of the year are being questioned. Moreover, it is probable that by the end of the year investors will choose to take profits and move to lower risk assets, including the Dollar. Will Bitcoin keep its exchange rate of $450? Or it will roll back to $420 and $400?
This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell Bitcoins.