Convergence

Shiba

Bitcoin

Shiba Inu

<img width="1200" height="681" src="https://coingape.com/wp-content/uploads/2023/12/JD5wm2AO-e1702488008847.png" class="attachment-full size-full wp-post-image" alt="BTC price" decoding="async" style="float:right; margin:0 0 10px 10px;">
Bitcoin Price Prediction: After a brief period of consolidation around $44K, Bitcoin price struggled to surpass a key resistance level, failing to hit $45K. This led to a <a href="https://coingape.com/here-why-bitcoin-and-crypto-market-falling-today/">sharp decline</a> in prices at the start of the week, indicating a bearish trend for the week’s opening. Despite this, the technical analysis suggests that the current pullback might be a retesting phase, hinting at a potential rebound. The critical question now is whether Bitcoin will close the year above $45K or fall below $40K. Let’s explore this further. 
Also Read: <a href="https://coingape.com/markets/top-reasons-why-you-should-buy-bitcoin-btc-shiba-inu-shib-in-december/">Top Reasons Why You Should Buy Bitcoin (BTC), Shiba Inu (SHIB) In December</a> 
<h2 id="b-is-btc-heading-to-50000-b">Is BTC Heading to $50000?</h2> 
<ul> 
 <li style="font-weight: 400;" aria-level="1">The pullback retests the broken resistance trendline of a previous rising channel.</li> 
 <li aria-level="1">The daily chart shows a potential formation of a bullish reveal candle morning star pattern</li> 
 <li style="font-weight: 400;" aria-level="1">The intraday trading volume in Bitcoin is $23.5 Billion, indicating a 23% loss.</li> 
</ul> 
<img decoding="async" src="https://s3.tradingview.com/snapshots/1/19XUT6pB.png" alt="TradingView Chart"> 
With a persistent uptrend in 2023, the <a href="https://coingape.com/price/bitcoin/">Bitcoin price</a> trajectory maintains a bullish approach with a higher low formation leading to a rising expanding channel breakout. Following the multiple rebounds, the breakout rally reached the $44K mark, leading to a market-wide rally.&nbsp; 
However, the uptrend momentum slowly fizzles down to a sideways move and eventually leads to a trend reversal. With a double top reversal in a shorter time frame, Bitcoin enters a shortfall phase to retest the broken levels.&nbsp; 
<blockquote>
 With a long tail formation, the daily candle retests the $40K mark and bounces back to the $42K level. Currently, Bitcoin trades at $42000 and marks a successful retest if the prices sustain above $4K.&nbsp;
</blockquote> 
Therefore, a post-retest recovery above the trendline in the coming days would give a convincing signal of a strong comeback. In such a case, the buyers can potentially drive the price up by 15% to reach around $50,000. 
<h2 id="b-key-levels-to-watch-b">Key Levels to Watch</h2> 
During the recent two-month rally, Bitcoin experienced several corrections, typically serving as a recuperation phase to regain bullish momentum for further advances. Interestingly, these pullbacks often found reliable support at either the 23.6% or 50% Fibonacci retracement levels. The current correction, which is maintaining above the critical 50% Fibonacci level, suggests that the long-term bullish trend is intact. This positioning above a key support level indicates a strong potential for a rebound, reinforcing the overall bullish outlook for BTC’s future trajectory. 
<ul> 
 <li style="font-weight: 400;" aria-level="1">Bollinger band: A reversal from the upper boundary of the <a href="https://coingape.com/education/bollinger-band/">Bollinger band indicator</a> reflects the sellers controlling the short-term trend.&nbsp;</li> 
 <li style="font-weight: 400;" aria-level="1">Moving Average Convergence Divergence: The rise in selling pressure is evident as the <a href="https://coingape.com/glossary/macd-moving-average-convergence-divergnece/">MACD</a> and signal lines prepare a negative crossover.</li> 
</ul> 
The post <a href="https://coingape.com/markets/bitcoin-price-prediction-btc-will-it-slide-under-40000/">Bitcoin Price Prediction: $BTC Recovery Hits The Brakes, Will It Slide Under $40,000?</a> appeared first on <a href="https://coingape.com">CoinGape</a>.

Bitcoin Price Prediction: $BTC Recovery Hits The Brakes, Will It Slide Under $40,000?

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