CountOnCrypto -Bitcoin Forecast - 25/12/2021

Good morning ladies and gentlemen, wish yourselves a merry Christmas and don't spend too long lurking on TradingView today!

My current thoughts on bitcoin are as follows; I'm expecting a retracement in the short term towards the point of control of this range which is shown by the red horizontal line below the .382 Fibonacci retracement zone (49k).

This is a bounce or break area and if it breaks then the next level I'm expecting us to find support is around 47.9k which was previously resistance turned support. Coincidentally, that level is in confluence with the golden pocket on my local Fibonacci retracement. If the 45.5k support level we formed a double bottom and bounced from doesn't hold then my downside target for bitcoin in the short-mid term is the lower golden pocket at 41.5k-41.2k.

The other scenario I'd imagine happening is we hold this current level of 50k, we've clearly found some support here in the short term and there's a lot of liquidity so it's likely we have a break out during next week towards the resistance around 53.5k.
We can expect low volatility and low volume over this Christmas weekend as institutional trading will be at a low as well as the rest of the market celebrating Christmas.

In the midterm, if we continue moving towards the upside; my next target will be the 55.8-56k level which is also a golden pocket and in confluence, with the clear support we found during the end of November, early December turned resistance.

Comment:

.382 Fibonacci retracement level has clearly acted as a support level during the early hours of the morning.

Comment:

Price retraced from the support level up to the resistance/ top of the Fibonacci retracement. I expect a correction to the downside will be coming shortly.

Comment:

Price retraced to the downside after rejecting the resistance in the top of the local range, so far it has found support at the .5 Fibonacci ratio which is the equilibrium of the range.

Comment:

Downside target reached.

Comment:

Nearly hit the golden ratio Fibonacci target of 41.5k - 41.2k.

Ready to buy the dip soon!

Comment:

If the retracement zone (golden ratio) at 41.5-41.2k holds then we can expect a bounce towards the bottom of the previous range (previously support) at 45k; as this was a previous level of support, we can expect resistance at this level.