Bitcoin (BTC) Price Prediction – December 16, 2020
Bitcoin breaks the $20,000 psychological price level as the coin reaches a high of $20,730. This current price movement has a target price of over $22,000. BTC/USD has finally broken the $20,000 resistance level which has been holding since November 24.
Resistance Levels: $13,000, $14,000, $15,000
Support Levels: $7,000, $6,000, $5,000
Following the recent breakout, Bitcoin has surpassed the 2017 price level. Analysts believe that the breakout has a target price of over $22,000. This year’s rally appears to be different from 2017 price action. This rally has been aided by investors who believed that Bitcoin is a store of value. Also, institutional investors are making a strong demand for Bitcoin. With this rally, Bitcoin has performed more than Gold and S&P. Gold and S&P have also broken their all-time highs this year. Traders believe that these rallies are being fueled by institutional growing demand for Bitcoin. For example, in 2017, Bitcoin data suggested that retail and mainstream investors were behind the Bitcoin rally.
Bitcoin (BTC) Indicator Reading
The king coin has risen to level 70 of the Relative Strength Index period 14. It indicates that Bitcoin is in an uptrend zone. Also, Bitcoin has reached the overbought region of the market. The market will rise as long as the price is sustained above the SMAs. The king coin is above the 80% range of the daily stochastic. It indicates that the market is in the overbought region of the market.
Meanwhile. Bitcoin has broken the overhead resistance. The implication is that Fibonacci tool analysis will hold. The Fibonacci tool has indicated an upward movement of the coin. On November 26, the retraced candle body tested the 61.8% Fibonacci retracement level. The retracement indicates that the market will rise and reach the level 1.618 Fibonacci retracement level. That is Bitcoin will reach a high of $22,456.0.