Despite a solid start, Bitcoin is expected to end the month in the red, with China’s latest crypto ban adding to the bearish pressure on the leading cryptocurrency.
Bitcoin price action
Bitcoin fell to an early morning low of $41,432.0 before making a rise, indicating a mixed start to the day.
Bitcoin soared to a mid-morning current-day high of $43,860, avoiding the first key support barrier at $40,687.BTC smashed over the $42,489 big resistance level and the $41,592.
The token also broke through the second key resistance level at $43,449 during the early advance, before reverting to sub-$43,000 levels. To bring $44,000 levels back into play, Bitcoin would have to avoid a fall through the first significant resistance level at $42,489, which it currently holds.
Bitcoin will, however, need support from the rest of the market to break past the second big barrier level at $43,449. The first major support level at $40,687 would be activated if the price fell through the first major resistance level at $41,592.
BTC Price to skyrocket by December!
Galaxy Digital CEO Mike Novogratz reportedly projected another Bitcoin rally before the end of 2021 during an appearance on CNBC on Wednesday.
He used a horse racing analogy, arguing that a horse that turns the corner near the finish line is more likely to win:
“In investing, you know, the great asset class, as it gets close to the year-end, the asset class that’s done the best usually has a great finish.”
Novogratz feels the market is currently in “consolidation phase,” and that maintaining the $40,000 level is critical for Bitcoin.
He doesn’t rule out the possibility that the benchmark cryptocurrency would return to $38,000 before experiencing further gains.
For the time being, he expects the tumultuous trading to continue.