Bitcoin Price Prediction Today: Will the Token Rebound or Dip Further?
Key Takeaways
- Bitcoin is trading at around $86,161.12
- The price has been down by more than 5% in the past 24 hours.
- The Fear & Greed Index reading of 24 (Extreme Fear) suggests that investors are extremely cautious.
- As of today, the price of BTC is projected to hover around $80K to $86k.
- Deeper corrections can not be ruled out if the selling pressure continues.
- The technical signals and increased whale activity suggest the continued bearish momentum.
- Moreover, the crypto market is experiencing another wave of liquidations following the speculations around a monetary policy shift in Japan.
- The investors are advised to follow a cautious approach.
Bitcoin’s Current Market Scenario: How is BTC Faring Now?
Bitcoin is trading at around $86,161.12; the price is down by more than 5% in the past 24 hours. The market cap touched $1.72 trillion. The 24-hour trading volume is up by over 44% reaching $54.78 billion. The Fear & Greed Index reading of 24 (Extreme Fear) suggests that investors are extremely cautious. The market sentiment remains bearish. The volatility remains high with 7.99% and the token is trading below the 200-day SMA.
The BTC had only 12 green days in the past 30 days. The following are key market indicators and their values.
- Fear & Greed Index: 24 (Extreme Fear)
- Market Sentiment: Bearish
- Supply Inflation: 0.84% (Low)
- Dominance: 58.50%
- Volatility: 7.99% (High)
Bitcoin Price Prediction Today
As of today, the price of BTC is projected to hover around $80K to $86k. Yet, deeper corrections can not be ruled out if the selling pressure continues. Even so, the RSI has already neared oversold territory, suggesting a trend reversal may occur. Considering the current market uncertainties, a stabilization is more likely as a strong stimulus is needed for an uptrend to materialize.
Bitcoin Price Prediction Tomorrow, & This Week
As for the upcoming week, the price of Bitcoin is projected to remain within a price range of $86k to $92k if the prevailing macro uncertainties continue. A strong macro signal is needed to add renewed momentum to the crypto market.
| Date | Day of week | Daily Low | Daily High | Average |
|---|---|---|---|---|
| 02/12 | Tuesday | $86,078.79 | $87,625.3 | $86,852.05 |
| 03/12 | Wednesday | $86,269.56 | $89,761.39 | $88,015.48 |
| 04/12 | Thursday | $90,052.7 | $91,055.31 | $90,554.01 |
| 05/12 | Friday | $90,143.42 | $92,197.31 | $91,170.37 |
| 06/12 | Saturday | $90,118.26 | $90,270.96 | $90,194.61 |
| 07/12 | Sunday | $90,299.69 | $91,105.32 | $90,702.51 |
| 08/12 | Monday | $86,468.09 | $89,518.31 | $87,993.2 |
Market Outlook: Technicals, Institutional Activity & Macro Trends
The major factors influencing the price of Bitcoin include whale activity, macroeconomic factors, institutional activity, and technical Indicators. Here is a look at each of these factors in detail.
Technical Signals Point to Continuing Selling Pressure
Bitcoin is currently trading below the 10-day Exponential Moving Average of 89,509 and the Simple Moving Average of 88,692. The 14-day Relative Strength Index (RSI) value of 32 indicates that the token is about to enter oversold territory. Usually, when RSI is nearing the oversold territory, it is a sign that selling pressure is exhausting. Thus, a trend reversal may be around the corner.
Moreover, the MACD has formed a bullish crossover. Both RSI and MACD suggest that a price stabilization or momentum building may occur soon. But the optimistic sentiments are overshadowed by the macro uncertainties. On top of it, the decline in open interest rates also suggests a bearish outlook.
Besides, the token dropped below the $89,500, a critical key support level. The price slip triggered the stop-loss orders. If the token fails to reach the current level, the next support level available is at 82,324. The deeper corrections may lead to $75k zone.
The Increased Whale Activity Indicates the Bearish Sentiments
The whale activity has heightened in the past 24 hours. The higher exchange whale ratio suggests that selling pressure remains high. The whale activity indicates the building bearish sentiments.
Institutional Activity: The ETF Flows Register Moderate Gains
Bitcoin recorded a net inflow of $71.2 million on Friday, November 28. The ETFs form around 6.56% of the total Bitcoin Market Cap. The Bitcoin ETFs have registered a net inflow of $238. 40 million. Despite the ETFs marking moderate gains, the stocks of major crypto companies such as Strategy, formerly MicroStrategy (MSTR), are performing poorly on Wall Street, suggesting the overall market gloom around cryptocurrencies.
Macroeconomic Factors: The Japanese Bond Yields Reach a 17-year High & The Fed Rate Cut Uncertainty Continues
The Japanese bond yields soared to a 17-year high following the buzz around countries’ possible shift in monetary policy. The speculations about an upcoming hawkish policy pushed investors to take a risk-averse position. While traditional investments such as bonds gained amid the rate hike speculations, the high-risk assets like cryptocurrencies felt the brunt. The developments from Asia resulted in over 600 million liquations.
Similarly, the uncertainty over Fed rate cuts is forcing inventors to adopt macrocaution. According to the latest CME FedWatch, the traders are pricing in 87.6% probability for December rate cuts.
The Bottom Line: What’s Ahead for BTC?
The crypto market is experiencing another wave of liquidations following the buzz around the monetary policy shift in Japan. Combined with weak technical signals and the uncertainty over Fed rate cuts, BTC is likely to experience deeper corrections in the near term. Nonetheless, reaching above $100k this month can not be ruled out if the market receives a strong stimulus. The investors are advised to follow a cautious approach.
Disclaimer: These crypto price forecasts are based on predictive modeling and should not be considered financial advice.
Crypto & Blockchain Expert