The $7,000 rally, which brought the price of Bitcoin (BTC) close to $100,000, was stopped in its tracks by Bitcoin bears on Thursday. Currently, at just over $95,000, what do the last few days of 2024 hold for the crypto king?
No more end-of-year gathering?
As we enter the final moments of 2024, the Christmas Parade may have been crossed off Santa’s Christmas to-do list once and for all. While there is likely to be another rally from the bulls, which could take the price back to the top of the ascending channel and to a new all-time high, the clock is ticking down, and this latest reversal may have some extra legs in it yet.
The outflow of US Bitcoin ETFs continues
On the buy and sell side, US spot bitcoin ETFs recorded their fourth straight trading day of net outflows. 3.57 thousand BTC left ETFs on Wednesday, making a total outflow of 15.5 thousand BTC (about $1.5 billion) for this four-day period.
MicroStrategy aims to provide rocket fuel for the Bitcoin price
With that said, many Bitcoin bulls on social media are still anticipating higher prices into Q1 2025. This may be in part due to MicroStrategy calling a special shareholder meeting as the board seeks to increase its authorized Class A common stock From 330 million to 10.33 billion and preferred shares from 5 million to 1.005 billion.
The vote is very likely to be positive for the company, given that Chairman Michael Saylor holds nearly 50% of the voting power. The resulting mandate will allow MicroStrategy to go on a massive buying spree in the future that has the potential to create a virtuous buying cycle that pushes the price of Bitcoin higher and MicroStrategy’s stock price along with it.
How much will the price of BTC fall?
Source: Trading View
The short-term time frame for $BTC shows that the price rose again to retest the bottom of the ascending channel once again, where it was rejected once again. BTC price is now trending lower, and it remains to be seen where the rebound could occur.
The current price level is a good horizontal support level at around $95,600. If the price drops further, and there is a high probability that this will be the case, there is support at $94,300, then an uptrend line around $92,600, and finally the major uptrend line that runs all the way to the 2021 bull market double top. Which will be around 91,000. dollar.
Concerns on the two-week chart
Source: Trading View
Looking at the two-week chart, there are some concerns to keep in mind. The current two-week candle envelops the previous candle, which is a bearish candle. However, Sunday’s close is still a few days off.
Also, at the bottom of the chart, the Stochastic RSI, which indicates price momentum, is forming to roll over. Again, there is still time to change this. The 80.00 level may act as support, which it has done in the past. Meanwhile, the weekly stochastic is moving lower. This may take at least another month for it to bottom, before it rises again and provides the all-important upward momentum.
Disclaimer: This article is provided for informational purposes only. It is not provided or intended to be used as legal, tax, investment, financial or other advice.
Source: https://cryptodaily.co.uk/2024/12/bitcoin-btc-bears-halt-christmas-rally-crypto-market-insights