Bitcoin Bears Fail to Spark Monthly Close Sell-Off
Bitcoin (BTC) saw a significant boost on December 1st as it returned to $38,000, marking its best monthly close since April 2022. Despite attempts by Bitcoin bears to trigger a sell-off, the cryptocurrency's price held strong and even surpassed key support levels.
Positive Outlook for Bitcoin
The monthly close came in at just over $37,700, with bid liquidity helping to maintain the intraday range and avoid a last-minute sell-off. This positive development was met with enthusiasm by traders and analysts, with popular trader Skew commenting on Twitter that the monthly close above $35,000 looked promising. Skew also noted that Bitcoin could experience a period of consolidation between $35,000 and $39,000 in the coming weeks.
Another trader and chartist, JT, highlighted the strength of the monthly candle, noting that the candle body low of $34.5K was higher than the preceding candle body high, which is a sign of strength. JT also pointed out that Bitcoin closed $3,000 higher this month compared to the previous month, indicating progress.
Resistance Levels and Outlook
Looking ahead, Skew mentioned that major resistance levels on monthly timeframes now lie at $47,000 and around the 2021 all-time high of $69,000. JT described the high-timeframe chart outlook as "consistent and constructive," suggesting a positive trajectory for Bitcoin.
Bitcoin Breaks Out Above $38,000
Shortly after the monthly close, Bitcoin broke out above the $38,000 mark, marking its first noticeable move in the latter half of the week. Surprisingly, the release of United States macroeconomic data did not have a significant impact on Bitcoin's price.
Significance of the $40,000 Range
Keith Alan, co-founder of Material Indicators, emphasized the importance of clearing the current range below $40,000. He noted that there is a significant amount of historical confluence within this range, similar to the resistance/support lines that Bitcoin has already surpassed in the past, such as the 2017 all-time high near $20,000.
Please note that this article does not provide investment advice or recommendations. Readers should conduct their own research before making any investment or trading decisions.
