With a lot of speculation around Bitcoin due to a sudden price drop, the Bitcoin Fear & Greed index is now showing a recovery in the cryptocurrency's status. From a previous 34 fear to greed rating, BTC's Fear and Greed index is currently sitting at 43.
Bitcoin Fear and Greed Index
Although the market's rating of BTC hasn't returned to neutral, the cryptocurrency has significantly jumped from 34 to 43, putting it almost in the middle. Despite the fear in the price of Bitcoin, the price, as of the moment of this writing, is sitting around $58.6K.
Bitcoin reached an all-time high of over $69K on Nov 10 before dropping to around $55K on Nov 19. Analysts noted that the price of Bitcoin could drop to $53k, which is its next support, according to an article by Forbes.
$55-$65K Range for BTC
The founder & CEO of the multi-strategy fund Banz Capital, John Iadeluca, said that Bitcoin has been trading sideways and remained within the $55-65K range. Bitcoin's current price point's performance was similar to back in Feb to May of this year.
Iadeluca said that personally, he does not believe that the price range of Bitcoin isn't a positive range for the cryptocurrency. He said that if the digital currency falls below estimated support levels, negative cyclical attributes could happen to Bitcoin.
Bitcoin Price Prediction
Iadeluca said that both $55K and $50K remain very sensitive support levels as of the moment. He said that the price of Bitcoin should fall lower than $50K. Negative cyclical attributes would be related to the price of Bitcoin.
This means that the price could serve as a signal that the cryptocurrency would head for a "bear market." According to a crypto investor and analyst, Scott Melker, who also hosts The Wolf of All Streets Podcast, below $50K would give him some form of "pause," saying $53K is a most likely area for the bottom before it would continue to go down.
How Will Bitcoin Hit $85K?
Melker's expectations, however, is that Bitcoin will be a "front run," saying that technical indicators are still showing that the cryptocurrency is merely going through a "healthy correction" instead of a new bear market as of the moment. Melker also noted that the RSI indicator is now hitting oversold on every time frame below the daily.
According to an article by CoinDesk, Bitcoin still needs to hold support and sustain a breakout that would be above $69K for them to yield an upside target moving towards $85K. As per the article, Bitcoin is now stabilizing after the cryptocurrency hit almost a 10% decline over last week.
The cryptocurrency is now holding its initial support above $56K, as seen on Investopedia. Resistance located around $65 could limit any further upside in the short term.
This article is owned by Tech Times
Written by Urian B.