Bitcoin’s price dropped to new lows of $45,672. Analysts using classical technical analysis patterns and on-chain data claim that Bitcoin’s price will further drop down to $40000.
On December 13, Bitcoin’s outlook in the short term took a turn for the worse when the price dropped to an unexpected intraday low of $45,672. It was a very disappointing outcome since the weekend’s rally of above $50000 had been extremely promising.
The year is almost wrapping up and record-breaking highs are almost 33% away, crypto traders are taking into consideration BTC’s unexpectedly poor performance and readjusting their expectations to see a $100000 BTC target later in 2022.
Predicting The Price Of Bitcoin Is Quite Simple
Using moving averages to predict the price of Bitcoin is a comparatively simple way. A few trades purchase when the asset secures a few highs in a day and then get rid of them when the price drops below because it is a guaranteed sign for the beginning of the downward trend.
Experienced crypto traders know that BTC makes M-tops, double tops, and head and shoulder patterns after hitting highs that are record-breaking. Crypto analysts have exposed what they believe is a double top, which is a guaranteed trend reversal.
Data from Whalemap, an on-chain analysis outlet, suggested keeping a close eye at the $40000 mark.
Bitcoin’s present price does not make traders, who bought at higher prices or hoped they would trade in the $74000 to $80000 in the month of December, feel secure. However, the hopes of prices that are that high still seem to be quite a distance off. In fact, with such trends indicating that prices are headed downwards, traders are worried that BTC prices may not reach the projected 100k mark even by the time 2022 ends.