Bitcoin on the verge of collapse: What awaits you in December?

Bitcoin on the verge of collapse: What awaits you in December?

This week brings new challenges for crypto enthusiasts and Bitcoin investors. The price of the most famous cryptocurrency has experienced another sharp decline, and analysts are warning that a fall of tens of thousands of dollars is “inevitable.” What is behind it? Here are five key facts you should know.

1. Volatility and the drop to $ 85,000

Bitcoin has come under pressure in recent days and briefly fell to a level of around $ 85,000, the lowest value since the beginning of November. This movement was caused by a lack of liquidity in the market and rapid price fluctuations. Some analysts warn that if the price does not return above $ 88,000-89,000, it may fall to November lows.

2. Predictions of a massive drop

Traders and experts do not rule out a drop to the level of $50,000. Roman, a well-known crypto trader, called a return to this level “inevitable”. Peter Brandt even speculates on a possible drop below $40,000 if the current support level does not hold.

3. Technical outlook and range

According to some analytical models, Bitcoin can move in the range of $80,000-99,000. The reason for this is, for example, a drop below key technical levels, such as the 50-week moving average, which indicates a possible bearish trend. To return to bullish mode, the price must again overcome the level of around $100,000.

4. November results: worst since 2018

November, with a decline of 17.7%, became the worst month since the bear market in 2018. Overall, losses for the fourth quarter climbed to 24.4%. Traders warn that the current situation is weak and the market is prone to further sharp movements without any clear news.

5. What experts are saying and market sentiment

While some predict another decline, others see the current development as an opportunity for stabilization. For example, CrypNuevo predicts that Bitcoin may move in the range of $80,000-99,000 for an even longer period. At the same time, the US Fed is still expected to publish key inflation data, which may affect the further direction of the market.

Conclusion

December promises to be exciting times. If the current trends are confirmed, we may expect a significant correction, perhaps up to $50,000. Investors should be cautious and monitor technical levels or macroeconomic events that may determine the future direction of Bitcoin.

*This is not an investment recommendation.

The Coingarage Team