Bitcoin Price Prediction Today: A Trend Reversal Around the Corner?

Bitcoin’s Current Market Scenario: How is Bitcoin Faring Now? 

Bitcoin is currently trading at around $87,021.41, and the price is up by 1.33% in the past 24 hours. The moderate recovery today led the market cap to touch $1.74 trillion. Despite the slight rebound, the Fear and Greed Index value of 13 suggests that the investors are extremely cautious. Furthermore, the volatility remains high, and the token has entered oversold territory.

• Fear & Greed Index: 13 (Extreme Fear)
• Market Sentiment: Bearish 
• Supply Inflation: 0.85% (Low)
• Dominance: 58.50%.
• Volatility: 8.62% (High)

Bitcoin Price Prediction Today

The price of Bitcoin is projected to stay within a range of $87k to $88k today. But a sustained break above $88k can confirm a rebound, and reaching $90k can not be ruled out. Yet, if the token fails to hold the current level, deeper corrections can not be dismissed. 

Bitcoin Price Prediction Tomorrow, & This Week

As for tomorrow, the price of Bitcoin may remain range-bound near the $85,000 level if the market continues to reel under pressure. However, with RSI dipping to oversold territory suggests a potential trend reversal, and reaching $90k or above is still on the horizon. Nonetheless, if the bearish cycle deepens, a pullback to $76k zone can not be ruled out. 

Market Outlook: Technicals, Institutional Activity & Macro Trends

The price of bitcoin is largely shaped by macroeconomic factors, whale activities, institutional adoption, and technical signals. Here is a detailed look at each of these factors. 

Technical Signals Show Signs of Recovery

Bitcoin is trading below the 10-day Exponential Moving Average (EMA) and Simple Moving Average (SMA). Moreover, the token is trading below the 200-day Simple Moving Average as well. The selling pressure is still high, and the MACD histogram shows a bearish crossover. Nevertheless, the 14-day Relative Strength Index (RSI) has already entered the oversold territory with a value of 30. This usually indicates a trend reversal may be around the corner. 

The traders are closely watching whether the token can reclaim $90k level. A failure to hold the current level may lead to deeper corrections. Besides, the RSI entering the oversold territory signals an exhaustion in the selling pressure. A break above $88k can confirm a rebound and further upside. Nonetheless, a slip below $84k may trigger further liquidations. 

Whale Activities Ramps Up

The past week saw long-term holders heavily offloading the cryptocurrencies, including bitcoin. The trend is reversing, with many going for the buy the dip not just in the case of bitcoin but also for other entities in the crypto space. For instance, Ark Investment spent around 39 million to buy shares of crypto-related companies on November 19 to 20.

ETF Flows Rebounds

The Bitcoin Exchange Traded Funds (ETFs) have recorded a net inflow of $238.40 million on November 21. When it comes to treasury holdings, Strategy still leads the chart. But the company is currently under pressure, with JP Morgan’s warning of a possible removal from the Index. Amid the growing concerns, the company is still sticking to the policy of acquiring more Bitcoin. The unwavering conviction from the Strategy is boosting confidence in the crypto market. 

The Upcoming Fed Rate Cuts 

When it comes to macroeconomic factors, the upcoming Fed rate cuts remain the most crucial factor. According to CME FedWatch data, the traders are currently pricing in a 62% probability of December 10 rate cuts. The investors are still in a state of macro caution regarding the rate cuts. The uncertainties are prompting the investors to take a risk-off sentiment, which is bad for the broader crypto market, including BTC. 

The Bottom Line: What’s Ahead for BTC?

In the near term, a rebound remains possible if oversold signals gain traction. Though sustained recovery depends on strong macro and institutional signals. The traders are now closely watching how soon Bitcoin can reclaim $100k zone. Nevertheless, the investors are advised to remain cautious as the volatility persists in the market. 

Disclaimer: The above crypto price forecasts are based on predictive modeling and should not be considered financial advice.