Bitcoin Technical Analysis: BTC Recovers After Dropping On Tuesday, Looks to Push Back Above $58,000

Daily Bitcoin BTC Price Analysis

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Last Updated December 2nd 2021
4 Min Read
  • The Bitcoin price is marginally up after dropping by over 2% on Tuesday. 
  • BTC was quite bearish towards the end of the previous week, dropping by over 8% on Friday. 

The Bitcoin price had registered a significant drop on Friday as the price dropped by over 8%. However, BTC recovered on Saturday, as the price pushed up by 2%, settling at $55,024. The price fell back on Sunday, dropping by 1.68%, before pushing up by almost 8% on Monday, as BTC started the week on a bullish note. However, Tuesday saw the price drop to $57,160, dropping by over 2%, before recovering during the current session and pushing back towards $58,000. 

Bitcoin Price Chart Indicates Bitcoin Could Push Towards $58,000

The Bitcoin price had started the previous weekend on a fairly bullish note, as the price pushed up by over 3% on Saturday. However, with the 50-day SMA acting as resistance, the price fell back on Sunday, although BTC registered only a marginal drop. BTC continued to drop on Monday, falling by almost 6%, before recovering on Tuesday and moving up by 2.38% and settling at $57,678. BTC registered a marginal drop on Wednesday before pushing up by 2.50% on Thursday and settling at $58,813. Despite the bullish sentiment, BTC registered a significant drop on Friday, as it fell by over 8% and settled at $53,947.

Image: BTC/USD daily

BTC/USD daily chart 120221

After dropping by over 8% on Friday, the Bitcoin price pushed up on Saturday, rising by 2% and settling at $55,024. However, BTC fell back on Sunday, dropping by 1.68% and settling at $54,098. BTC pushed back up on Monday, as the price rose by almost 8%, rising to $58,360, before falling back on Tuesday, registering a fall of over 2%. The current session sees BTC up marginally, as buyers look to push the price towards $58,000.

We can see that the Parabolic SAR has flipped to bullish, indicating that we could see the price push higher.

Looking at IntoTheBlock’s IOMAP for the Bitcoin price, we can see that BTC has strong support at around $56,195. At this price level, more than 2 million addresses have bought over 1.3 million BTC.

Image: IntoTheBlock 

BTC/USD volume chart 120221

The 4-hour Bitcoin price chart shows us that BTC had dropped to $56,371 on the 24th. The price pushed up significantly from this level, as it pushed above the 20 and 50-bar SMAs and settled at $59,013. After reaching this level, the price turned bearish and registered a sharp drop, as BTC fell back below the 20 and 50-bar SMAs and settled at $53,741 on the 26th. After pushing up to $55,246 from this level, the price dropped to $54,493 before surging past the 20 and 50-bar SMAs and settling at $57,415 on the 29th. BTC dropped to $56,559 from this level, but with the 50-bar SMA acting as support, it pushed to $58,635 before dropping to its current level of $57,238.

We can see that the MACD is currently bullish; however, if the price continues to drop, we could see it flip to bearish.

Image: BTC/USD 4-hour

BTC/USD 4-hour chart 120221

Spot Bitcoin ETF Launches In Canada Courtesy Fidelity

Fidelity Investments plans to launch a spot Bitcoin ETF in Canada. Recent reports reveal that the company has no intention of waiting for the US Securities and Exchange Commission (SEC) to make up its mind on whether or not to allow a spot Bitcoin ETF in the country. 

The product is called Fidelity Advantage Bitcoin ETF (FBTC) and will obtain physical bitcoins directly. This means that the fund will buy actual BTC instead of getting exposed through a derivative instrument.

According to the reports, Fidelity is calling the shots because of massive client demand and chose Canada because the US authorities fail to provide any further clarity on the matter. The FBTC fund will also be managed actively. 

The move also comes days after Fidelity received Canada’s regulatory approval to launch the country’s first BTC institutional solution. Fidelity Investments currently manages around $4.2 trillion in assets, making it one of the leading asset management companies.

Canada is no stranger to spotting Bitcoin ETF products. Per earlier reports, its first-ever such product raked in over $400 million in assets within two days of its launch. 

Other companies to launch a spot BTC ETF include Galaxy Digital, spearheaded by Michael Novogratz and CI GAM.

Bitcoin Price Is Expected To Reach These Levels 

Looking at the Bitcoin price chart, we can see that BTC has recovered during the current session. However, we can also see that sellers are looking to push BTC below $57,000. If sellers retake the session, we could see BTC drop below $57,000. However, if buyers retain the session, we could see the price move towards $58,000.