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Bitcoin Price Prediction As Renewed Buying Hints a Rally to $48000

source-logo  coingape.com 08 December 2023 16:10, UTC

Bitcoin Price Prediction: Bitcoin, the largest cryptocurrency by market capitalization, has been on a notable recovery path since the beginning of December. Starting the month at $37,655, it has witnessed a substantial 18% increase, achieving a 20-month high of approximately $44,530. This positive trend was further validated when the Bitcoin price broke through the overhead trendline of an expanding channel pattern, signaling that buyers are gearing up to extend the uptrend.

Also Read: Bitcoin Core v26.0 Is Now Live, BTC Price Set For $50000

Will BTC Recovery Surpass $48000?

  • A bullish breakout from the resistance trendline of the retest phase offers additional confirmation for recovery
  • A long-tail rejection candle indicates the buyers are accumulating at a market dip
  • The intraday trading volume in Bitcoin is $36.9 Billion, indicating a 101% gain.
Bitcoin Price Prediction
Bitcoin Price Prediction| TradingView Chart

On December 5th, the Bitcoin price made a decisive breakout from the upper trendlines of the expanding channel pattern. Typically, this pattern suggests increasing uncertainty among market participants.

However, a breakout to the upside indicates a stronger conviction from buyers to maintain the uptrend. Over the past few days, the BTC price has undergone a retest phase around the $44,000 level, striving to hold above the previously breached resistance.

Earlier today, a recent sell-off pushed the price down to $40,300, but it quickly rebounded, showcasing strong buying pressure. This recovery brought the price to the current level of around $45,000, marking a bullish breakout from a newly established resistance point.

If this momentum is maintained, the post-breakout rally could potentially drive the BTC price 10% higher, reaching approximately $48,276

Market Confidence Soars as Bitcoin Open Interest Hits $19.61B High

Source- CoinGlass

The dollar-denominated open interest in Bitcoin futures has shown remarkable growth, indicating heightened market activity and investor interest. According to data from CoinGlass, in just two months, this open interest value has surged from $11.8 billion to $19.61 billion, the highest value recorded over the past year. This substantial increase in open interest, coupled with Bitcoin’s ongoing price recovery, reflects a growing confidence among investors and an increased interest in the cryptocurrency

  • Bollinger band: A downtick in the upper boundary of the Bollinger band indicator could offer an additional resistance of around $44,700.
  • Relative Strength Index: A daily RSI of above 60% could reflect the bullish sentiment in the market is intact.