As the year comes to an end, a well-known analyst suggested that Bitcoin (BTC) could make a New Year's comeback after the main crypto increased by 4.2% to reconfirm a key level.
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Bitcoin is seeing a year-end slowdown
Bitcoin has been struggling to hold the mid-zone of its one-month price range as the crypto market experiences a year-end slow down. In December, BTC crossed the $100,000 barrier for the first time, reaching a new all-time high of $108,353 mid-month.
Over the past 30 days, the major crypto has moved between $90,000 and $108,000, ranging between $96,000 and $102,000 for most of the month. Nevertheless, Bitcoin has registered a decline of 10.5% since it hit its ATH, not holding the $98,000 level over the past two weeks.
The largest cryptocurrency by market capitalization saw a summary revival on December 25 but quickly lost their Christmas rally gains. Since then, the price of BTC recorded its deepest recovery since the beginning of December.
Bitcoin fell below the crucial $92,000 support area on Monday, dipping to $91,530 before recovering, raising concerns about BTC's monthly close. However, New Year's Eve started with a 4.2% increase during the morning, fueling year-end optimism of a price rebound.
The price of the cryptocurrency moved from $92,000 to $96,000 before going back to the $95,000 support zone. As the price of BTC rose, the crypto analyst Ali Martinez was noted that the TD Sequential showed a buy signal on the 12-hour chart, which could indicate a New Year's Day price bounce.
'All Is Well' For BTC Rally
Martinez suggested that “a sustained close above $94,700 could lead to a rebound to $97,500.” As the previous analyst pointed outthis level is one of the most important support zones of BTC, and it is important to recover the short-term rally of the cryptocurrency.
On the other hand, “missing $92,500 as support will invalidate the bullish signal,” Martinez said. Losing this level could send BTC to the $70,000 level based on the UTXO Affordable Price Distribution (URPD) chart.
The analysis has said that a 25% crash to the $70,000 mark is possible, as the URPD chart shows little support below the main support wall.
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Meanwhile, James Van Straten was noted that “all is well” despite BTC's current price action. The analyst pointed out that “this cycle was like the previous three cycles for BTC, all seeing corrections at this point after the halving,” adding that “the corrections start later on forward and ends later. Perhaps, related to long walks.”
As of this writing, Bitcoin is trading at $94,949, up 1% in the intraday period.
Featured image from Unsplash.com, Chart from TradingView.com
