Bitcoin’s price action in 2021 has been more aggressive unlike all its historical performances. Although the asset has been in a bearish trap for the past two months, the gains are still 100% more unlike the last Christmas. The current situation may be calmer than normal, but there is an incredible chance that the price will rebound off the support in the first week of January.
Bitcoin Thrives For A Solid Return In The 1st Week Of January!
Bitcoin resumed with the last week of the year with nearly $ 51,196k and analysts and supporters have listed some interesting tools for January price action. Technical analyst TechDev confirmed that Bitcoin followed the historical pattern and would explode soon. However, the flagship asset tested its first local high with 2W RVI exceeding 90. As in 2013 and 2017, the asset tested a resistance close to the fib 1.618 fib level and managed to find support near 1,472 fib levels in December.
In addition, the asset has successively generated new lower on his weekly closing, hence the first week of January looks bullish. Interestingly, Glassnode’s analyzes point out that the net profit made and loss have tumbled at low levels. This persuades that sellers may be depleted and that the asset would experience a drastic price movement if a large number of buyers intervene.
In contrast, perpetual funding remains reasonably optimistic. If funding turns negative from here, we expect a choppy move for now. However, with the completion of $ 24 billion when the options expire on December 31, the week of January 1 would be rather bullish.
Collectively, the 1st week of January would play a decisive role in confirming whether the 1st quarter will be bullish or bearish. Yes Bitcoin price manages to regain the bullish pace it had at the start of 2021, then it would climb to a triple-digit number. All in all, the asset must at least recover the price above $ 60,000 in the first days of a new year to race for the biggest rally.