Bitcoin (BTC) ended November down around 7%. This was in stark contrast to the $ 98,000 “worst case scenario” forecast by PlanB, the creator of the famous stock-to-flow model. Although the analyst called it a “big mistake”, he said it would give the bottom model another month.
In their latest report this week, chain analysts at Glassnode said that Bitcoin’s correction in November was “the least serious in 2021”. Analysts now predict that Bitcoin will see a Santa rally similar to the 47% rally in December 2020 or a powerful 80% rally in December 2017.
Daily market indicators for cryptocurrency. Source: Coin360
In more positive news about bitcoin bulls, Eric Balchonas, chief analyst at Bloomberg ETF, said the Fidelity Bitcoin ETF is awaiting regulatory approval for listing on the Canadian stock exchange. If that happens, Fidelity will become the largest asset management company offering spot Bitcoin ETFs.
Will the bulls be able to maintain their current momentum after the beginning of December on a solid footing? Let’s take a look at the 10 best cryptocurrency charts to find out.
BTC / USDT
Bitcoin has stuck to the 20-day exponential moving average ($ 58,463) over the past two days. This indicates that the bears protect the 20-day EMA, but the bulls do not give up.
BTC / USDT daily chart. Source: TradingView
Buyers are once again trying to lead the price above the 20-day moving average from 1 December. If they succeed, it will indicate that the sales pressure can be eased. The BTC / USDT pair can then rise to the 50-day simple moving average (SMA) ($ 60,828).
This is a critical level for the Bears to defend, as a breach of it would pave the way for upside resistance of $ 67,000- $ 69,000.
Conversely, if the price reverses lower from the current level or the 50-day simple moving average, this means that traders are selling higher. Then the pair can return to the hundred-day moving average ($ 54,343). A breakout and a close below $ 53256.64 could trigger a deeper correction.
ETH / USDT
Ether (ETH) broke out and closed above the $ 4,551 resistance on November 30th. The strong purchase on December 1 pushed the price to an all-time high of $ 4,868.
ETH / USDT daily chart. Source: TradingView
The 20-day EMA ($ 4,380) began to rise, and the Relative Strength Index (RSI) rose to positive territory, indicating that the bulls are back in control. If the bulls push the price above $ 4,868, it will invalidate the forward-looking H&S pattern.
The ETH / USDT pair can then start their march north towards the $ 5,796 target. Conversely, if the price reverses from the upper resistance, the Bears will try to push the pair below the 50-day moving average ($ 4,289). If they do, the couple could drop to $ 4,000.
BNB / USDT
On November 30, Binance Coin (BNB) retreated from the 20-day moving average ($ 602) once again, indicating that sentiment remains positive and traders are piling into deflationary periods.
BNB / USDT daily chart. Source: TradingView
The BNB / USDT pair can now climb to the upper resistance of $ 669.30. An eruption and an end to this resistance could complete the H&S reversal pattern with a target of $ 828.60.
The all-time high of $ 691.80 can provide resistance, but if the bulls overcome this obstacle, the pair can start the journey towards the goal pattern.
If the price drops from $ 669.30, the bears will try to pull out and keep the pair below the 20-day moving average again. If successful, the pair could slide toward the 50-day moving average ($ 559).
SOL / USDT
On November 30, Solana (SOL) rose above the 20-day moving average ($ 213), but the long week on the candle indicated sales at higher levels. On December 1, the bulls resumed buying and pushed the price against the line of resistance of the symmetrical triangle.
SOL / USDT daily chart. Source: TradingView
An eruption and a closure over the triangle will indicate that the bearish uncertainty for the bulls has ended on the upside. The SOL / USDT pair may rise first to $ 240 and then test the highest record again at $ 259.90. The target for this installation is $ 310.96.
If the bulls fail to keep the price above the resistance line, this indicates that the bears continue to sell at the rallies. The bears must retreat and keep the price below the triangle to signal a short-term peak.