After a huge run up in price a pullback was bound to happen. Bitcoin is known for massive swings like this so anyone who has followed it for a while knew that this was coming. What was interesting about this pullback to me was it hitting at the time that it did. While liquidity was going to be much lower due to the holiday it also was only a US holiday. The rest of the world was not on vacation. 

Bitcoin appears to have found a new level of support for itself since its secondary plunge to $16,200. Previous severe pullbacks like I expected Bitcoin to have ranged from 15% to 35% pullbacks. This most recent pullback would squeak into this range. Possibly signaling the major pullback is over. With how close it is to the less severe pullback though does make me wonder if another smaller pullback will occur. 

How Bitcoin handles this pullback into the weekend will be interesting as the amount of liquidity is lowest on the weekends. If Bitcoin can maintain the $17,000 threshold through Sunday than it would seem that bulls would be able to work on driving the price up back towards $20,000 by the end of the year. 

If Bitcoin fails to maintain this level it looks like it will be headed to choppy waters for a little bit. It will have to find a new level to consolidate and could fall as low as $14,000 while doing this. How the next few days play out will be key to see if the end of the year/beginning of December will continue with a bull run or if the momentum is now lost from it. 

I hope y’all enjoyed this post and continue to be safe out there!