- Bitcoin price prediction expects a steady road to $20,000
- BTC price currently sitting at $19,200 level
- Volatility levels suggest BTC continues bullish
- Support levels steadily appearing
- BTC dominance down from 64 percent on the 1st of December 2020
Bitcoin price prediction:
Bitcoin (BTC) currently retains just under 63 percent dominance as it steadily advances towards $20,000. BTC price opened at $19,358 today and has since dropped down to $19,211 as bearish activity dictates the day so far.
As of today, December 7th, 2020, BTC price sits in the middle of it’s pilgrimage to the All-Time-High (ALT) $20,000. With each bearish assault, bullish momentum returns.
In the last three days, BTC price has seen recovery from lows of $18,500 to lows of $19,000 so far today. This is a clear sign of support levels appearing as the bullish market continues on hindered, but perseverant.
Use the oscillator below to check what role BTC might play in your portfolio
Bitcoin price prediction: 1-Day chart
The 1-Day chart features the white arrow prediction line from an earlier post published on the 1st of December, 2020. As can be seen, the BTC price has been clinging closely to the trajectory of the December 1st prediction so far.
Observing the volatility and volume levels, Bitcoin is seeing little movement and activity into December. Notably, the volatility drops on the 5th of December 2020, which correlates closely with bullish activity. This suggests that BTC’s price recovery to above $19,000 is more attuned to the crypto market’s current bullish trend.
Bitcoin price prediction: 1-Week chart
As can be immediately seen, the prediction arrow – though not yet realized on the 1-Week chart – seems practical at first glance as the week begins. Where this changes, however, is when we observe the Relative Strength Index (RSI) indicator.
For those that are unfamiliar, the RSI indicates when an asset is oversold (below 30 RSI) or overbought (above 70 RSI). If Bitcoin is oversold, a price breakout to the upside can be expected. On the other hand, as can be seen in this chart, the RSI level is 82.92 which would suggest a fall is to be expected.
As the RSI does not correlate with the level of volatility into December, this could suggest that BTC price will continue to rise. As the goal of the ATH $20,000 is within sight, we will likely see volatility shoot up if we exceed $19,800. This would result in mass BTC sales, an RSI level plummet, and bearish activity take hold.
Bitcoin price prediction: 1-Week volatility chart
The Historical Value Index (HVI) indicator helps provide us with a different perspective.
In comparison to any activities in March, volatility levels are currently minute, but the correlation in price fluctuations are apparent. In mid-November, we saw volatility jump above 40 HVI as prices dropped to below $17,000. This movement steadily saw recovery and a drop in volatility following high volume sales of BTC.
As the HVI indicator shows our journey into December, volatility levels seem to be slightly angled on the decline – suggesting reducing HVI levels. If this shows anything, it is that bullish activity of Bitcoin sails a calm sea, while bearish retaliation battles against the tide. Call me Ishmael if Bitcoin doesn’t win this battle of attrition.
Bitcoin price prediction conclusion: BTC price support levels expected to reach $19,600 in next four days
This 1-Day chart shows hope through steady bullish momentum, decreasing volatility, RSI below 70, and consistent volume levels.
Further signs of hope can be seen in the Bollinger Bands (BBs) as they continue to pin BTC price above the BB Basis mid-line. As support levels have now been found beyond the $19,000 level, BTC price continues to ascend to the highly anticipated ATH.
To conclude, Bitcoin has certainly been through the motions towards the end of 2021, but activity between the bulls and bears seems equal. Though this equilibrium appears, the bulls still seem to hold a larger portion of control of the market and strive determinately toward $20,000 before Christmas.