Bitcoin
BTC$23 377.12

-4.18%

Ethereum
ETH$1 842.25

-5.57%

Tether
USDT$1.000068

0%

USD Coin
USDC$0.999915

-0.01%

Binance Coin
BNB$306.80

-4.80%

XRP
XRP$0.374134

-3.28%

Bitcoin reaches for $47K as analysts agree BTC price consolidation cannot last


06 Jan 2022

#Bitcoin

There will be a breakout up or down within weeks, consensus believes, with targets between $40,000 and $60,000. Bitcoin (BTC) recovered from new lows of $45,550 on Jan. 5 as analysts waited patiently for a "squeeze" to trigger fresh volatility. Data from Cointelegraph Markets Pro and TradingView showed BTC/USD returning to the previous day's levels near $47,000 on Binance at the time of writing. The repeated dips had failed to unsettle market participants, who now turned to the prospect of an abrupt move up or down in the coming weeks. Volatility in a time of flat funding rates and record-high open interest on derivatives markets, they had said Tuesday, was all but a given.

"Think we enter a volatility squeeze by end of the month," analyst William Clemente forecast in part of comments on Bitcoin's Bollinger band chart.

A popular indicator which Clemente acknowledged as one of his "favorite" tools, Bollinger bands use two standard deviation bands around the Bitcoin spot price to assess when volatility is likely to come. The question this week, however, was whether the move would be up or down.

"If we get that same setup from late July and initial pop down to low 40s out of a squeeze I will def be a buyer there," Clemente added during a discussion on the outlook.

A further post unveiled the likely cause of the $45,550 dip — a trader's failed attempt to short the lows and a subsequent buyback.

Red herring candles

Those looking for upside meanwhile highlighted macro factors. Inflation, running hotter than anticipated, had not been fully reacted to by Bitcoin yet. 

"View-wise, we are still holding out for an upside move in the near-term," trading firm QCP Capital wrote in its latest update to Telegram channel subscribers. "Looking at the 10-year breakeven inflation rate (which has historically had a high correlation with BTC), there has been a material divergence since end-December... If BTC plays catch up here we could see the move towards 60,000."

Inflation cues are due next week with the publication of December's consumer price index (CPI) data.

"Never once BTC looked like this when it ended its bullish cycle. NEVER, since its inception," an even more bullish Galaxy continued Tuesday. "It always drops sharply without much recovery.""We are in a consolidation before the next massive move to the upside," he added. 

Galaxy was observing periods of consolidation following price tops throughout Bitcoin's history, concluding that the $69,000 top in November could not logically form a multi-year high. 

 

 


Related

Bitcoin seeks support
Bitcoin seeks support
Bitcoin's bullish stability
Bitcoin's bullish stability
Bitcoin remains in ascending corridor
Bitcoin remains in ascending corridor
Bitcoin retreats from the upper boundary of an uptrend channel
Bitcoin retreats from the upper boundary of an uptrend channel
Musk has clipped the wings of Bitcoin
Musk has clipped the wings of Bitcoin
Crypto's full swing recovery
Crypto's full swing recovery
Blockchain projects are pulling the crypto market up
Blockchain projects are pulling the crypto market up
Bitcoin dipped into a flat
Bitcoin dipped into a flat
Bitcoin benefiting from gains in equities
Bitcoin benefiting from gains in equities

Top Cryptocurrencies with Price Predictions

# Crypto Prediction Accuracy CVIX Price 24h 7d Market Cap 7d price change
1 Bitcoin (BTC) BTC Bitcoin predictions 88.8% 13 $23 377.12 -4.18% -4.83% $447 075 937 480 BTC 7 days price change
2 Ethereum (ETH) ETH Ethereum predictions 68.4% 57 $1 842.25 -5.57% -2.51% $224 771 545 069 ETH 7 days price change
3 Tether (USDT) USDT Tether predictions 92% 1 $1.000068 0% -0.03% $67 570 562 281 USDT 7 days price change
4 USD Coin (USDC) USDC USD Coin predictions 94.8% 1 $0.999915 -0.01% 0.01% $53 159 903 576 USDC 7 days price change
5 Binance Coin (BNB) BNB Binance Coin predictions 66% 64 $306.80 -4.80% -7.81% $49 498 485 536 BNB 7 days price change
6 XRP (XRP) XRP XRP predictions 92% 11 $0.374134 -3.28% -1.89% $18 473 812 799 XRP 7 days price change
7 Binance USD (BUSD) BUSD Binance USD predictions 94% 1 $1.000141 0.01% 0.02% $18 288 013 118 BUSD 7 days price change
8 Cardano (ADA) ADA Cardano predictions 79.6% 30 $0.536096 -6.82% -1.61% $18 191 903 489 ADA 7 days price change
9 Solana (SOL) SOL Solana predictions 78% 33 $40.80 -8.29% -8.88% $14 232 149 113 SOL 7 days price change
10 Dogecoin (DOGE) DOGE Dogecoin predictions 83.2% 28 $0.081156 -7.02% 12.66% $10 767 081 650 DOGE 7 days price change
11 Lido stETH (STETH) STETH Lido stETH predictions 92.4% 1 $2 941.39 -0.40% -3.32% $10 258 752 564 STETH 7 days price change
12 HEX (HEX) HEX HEX predictions 68% 66 $0.058867 -5.25% -5.51% $10 208 131 428 HEX 7 days price change
13 Polkadot (DOT) DOT Polkadot predictions 72.4% 54 $8.44 -7.64% -10.97% $9 351 379 972 DOT 7 days price change
14 SHIBA INU (SHIB) SHIB SHIBA INU predictions 78% 45 $0.000015 -8.13% 18.92% $8 164 105 683 SHIB 7 days price change
15 Avalanche (AVAX) AVAX Avalanche predictions 69.6% 63 $25.73 -8.40% -14.00% $7 332 766 147 AVAX 7 days price change

Be the first to receive Cryptocurrency Price Predictions and Forecasts daily

Get cryptocurrency price predictions, forecasts with analysis and news right to your inbox.

© 2015-2022 Crypto-Rating.com

The usage of this website constitutes acceptance of the following legal information. Any contracts of financial instruments offered to conclude bear high risks and may result in the full loss of the deposited funds. Prior to making transactions one should get acquainted with the risks to which they relate. All the information featured on the website, including information about the cryptocurrencies and bitcoin is intended solely for informational purposes, is not a means of advertising them, and doesn't imply direct instructions for investing. Crypto Rating shall not be liable for any loss, including unlimited loss of funds, which may arise directly or indirectly from the usage of this information. The editorial staff of the website does not bear any responsibility whatsoever for the content of the comments or reviews made by the site users about cryptocurrencies. The entire responsibility for the contents rests with the authors. Reprint of the materials is available only with the permission of the editorial staff.