Bitcoin Price Evolution Analysis 12.30.2021

By CSM TRADER | CSM TRADER | 30 Dec 2021

Bitcoin Price Evolution Analysis 12.30.2021

by CSM TRADER

Nº 494

BTC price U$ 48.800.

Price USD/BRL R$ 5.70.

Price EUR/BRL R$ 6.44.

Price Gold 1g R$ 327.62.

Good morning to all readers.

The crypto market this year has seen some ups and downs that have caused market sentiment to fluctuate widely. Investors had experienced a year like no other, due to the multiple bull runs and subsequent crashes and falls that plagued the market. For some, it was the best year after their portfolios had been in the red for the past 3 years, while for others, especially those entering the peak of the bull run, it was brutal.

However, it was a year full of lessons for all investors. Moving from incredibly optimistic to bearish helped educate investors.

The beginning of the year had investor sentiment at an all-time high. Right in the territory of extreme greed, the increasingly positive investor outlook would manifest itself over the next two months in the market. For four months, market sentiment was extreme greed, and faith in cryptocurrencies remained high. However, that would change not long after.

The first notable price drop in the crypto market occurred in May, and saw market sentiment plummet with it. After remaining in greed territory for so long, sentiment was suddenly frightened and investors became wary of the market. This continued through most of the summer, as market-wide declines continued to sway the market, in turn dragging sentiment into the negative.

In the spring, however, the market began to rise again. Sentiment slowly but surely moved out of fear territory and into neutral, hovering between that and greed.

August would mark the beginning of another stretch of positive sentiment, with the market once again dipping into greed territory. This was followed by rising prices, with investor favorites reaching new highs.

This would prove not to last long, as sentiment once again fell back to negative following the September 7 market crash. The Fear & Greed Index would again trend lower until another high in late September brought it back up. This time, market sentiment would spend a considerable amount of time in greed territory before reversing again.

More experienced investors have used tools like the Fear & Greed Index to profit from the crypto market this year. So while others are afraid to put money into the market, others have doubled down on their investments and seen the results pay off.

Arcane Research predicts that this trend will continue into 2022 and will help investors identify opportunities to "buy the dip" next year.

Bitcoin price is still in a downtrend below the U$48,500 price area and below the 100 EMA (H1).

The Bitcoin price in the past sessions after many consolidations and attempts of positive advances above $48,120, failed and came to correct below the price area of $47,500, and came to test the price area of $46,560 where it tried the turns of positive developments above the $48,120; but again failing, and once again entering the negative corrections and going to test in the price area of $45,880, where it came back above the $46,500, and continues so far.

Now at the time of writing the Bitcoin price is in the $48,850 price area.

The Bitcoin price needs to remain above $46,220 for further consolidation to take place and the possibility of positive breakthroughs to return attempts above the $47,000 and $47,500 price areas, where the Bitcoin price should remain for further consolidation and return attempts above $48,220 and $48,500.

There is no point in a strong bullish leg above U$47,500 if the Bitcoin price does not sustain above U$47,220, as it will give everything back.

On the other hand, if the Bitcoin price does not get these positive advances above $47,220, negative corrections could go below $46,500 and $46,000.

Only with a necessary +/- double bottom pattern in the $46,200 price area, or above the 20 EMA, for the Bitcoin price to achieve good, consistent positive advances above $47,500; that is if it is not invalidated like the attempts of the other double bottom patterns that have appeared.

The possibilities of continued negative corrections to test $45,500 could still emerge and extend below $45,000.

Sellers remain in control of the situation and keep an eye on the $44,500 price area, where a test there at $40,888 could be confirmed.

A close of the Journal above the $46,430 price area has been made.

Today a close above the $47,220 price area would be important.

Major Resistance areas - U$46,900, U$47,360 and U$47,780.

Major Support areas - U$46,500, U$46,000 and U$45,880.

H4 chart :

Bitcoin price is below the EMAs and below the Ichimoku Cloud.

It will be necessary for the Bitcoin price to make positive moves back above the EMA 5 or even above $47,220.

If the Bitcoin price fails to continue positive moves above $47,000 and $47,220, negative corrections could come back below $46,500 and $46,000.

Follow the buyers in attempts to keep the Bitcoin price in consolidations above U$ 46,500.

The chart on H4 will follow all week to have a parameter of the Bitcoin Price Evolution. Only a few adjustments will be made.

Resistances: U$ 47.212 // U$ 47.666 // U$ 48.124 // U$ 48.818.

Supports: U$ 46,632 // U$ 46,134 // U$ 45,661 // U$ 45,048.

https://www.tradingview.com/x/fswKQmiE/

H1 chart :

Bitcoin price follows above the EMA 5, however it follows below the EMAs 20, 50, 100 and 200 and below the Ichimoku Cloud.

The Bitcoin price needs to break above the Ichimoku Cloud Baseline and EMA 20 for the next few sessions so that it can try to stay supported above them and continue the positive developments above $47,220 and $47,500.

If the Bitcoin price fails to break above the Ichimoku Cloud Base Line, the negative corrections could come back below $46,500, where it will be of utmost importance for the Bitcoin price to stay above $46,000, as below $46,000 the negative corrections will go to test breaking of $45,880 and $45,500.

Follow the buyers in attempts to follow through with Bitcoin price above the Ichimoku Base Line, which will be decisive at this point.

Resistances: U$ 46.989 // U$ 47.208 // U$ 47.434 // U$ 47.677.

Supports: U$ 46.680 // U$ 46.458 // U$ 46.221 // U$ 45.938.

https://www.tradingview.com/x/3BtVYlcm/

Dominance: 41.13 %

" The conversations you avoid the most are the ones you need to have the most. " ------ Rbin Sharma

Continue to follow My Analysis on Tradingview as well:

https://br.tradingview.com/chart/BTCUSDTPERP/1aOLNXDT/

Make your free card with Bitcoin cashback, on spending from $10. No partner requirements.

By registering with the link you will earn more BTC on your purchases.

https://www.soualter.com.br/abra-sua-conta?c=CHRISTIAN14

Follow My Analysis on Twitter: https://twitter.com/CSM_Trader