Bitcoin Marching To $41.2k – Crypto Piece
Bulls Continue Shining
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Bitcoin has been very choppy in the recent weeks, taking out overly aggressive longs and shorts. This is the typical behavior of what we like to call the “Washing Machine” price action, as we highlighted in the 1st chart of our previous crypto piece. However, this price action maintained its higher highs and higher lows structure, indicating that upside is the logical bias at play. The chart below (found on Twitter) does a good job at highlighting the emotions at play during the “Washing Machine” price action.
Bitcoin Finally Broke $37.5k
Despite the choppy price action, Bitcoin bulls have been able to work their way past the $37.5k region, which was a resistance level we’ve highlighted in multiple past articles. A confirmed breakout has now put the $41.2k region at play.
The $41.2k region is also confluent with the 4.236 Fibonacci extension when measured from the pre-FTX collapse top to bottom. This extension has an exact figure of $41,425. We had highlighted this Fibonacci level in our last crypto piece, but below is the chart for our new subscribers.
Green December?
November, or “Moonvember” as some crypto investors would call it, lived up to expectations and closed green. This is a month where cryptos typically see positive price action. Interestingly, since 2015, Bitcoin’s directional move in December has systematically matched the direction from November. If this were to hold true in 2023, then December should be a green month as well, and we’re very likely to see $41.2k this month!
But What About Ethereum?
Ethereum has also been showing signs of significant strength. Not only is the MACD bullish, but even the 9, 21 and 55 exponential moving averages (EMAs) showing bullish posturing as all three are sloping up, acting as support. The next 2 resistance levels to watch are $2300 and $2500. A break above $2500 would lead to a lot of upside, and we’ll discuss targets once we’re closer to such an occurrence.
ETH/BTC Ratio
The ETH/BTC ratio is still hovering near the value zone, but we believe that the time for ETH to outperform BTC is nearing by the day. A bullish weekly MACD cross is in the works, and for now the weekly 9-EMA is acting as resistance. A break above this should lead to ETH/BTC ratio moving close to 0.0596 level i.e., ETH outperforming by nearly 10%.
Altcoin Setups
This brings us to one of your favorite parts of this article – Money Making altcoin setups. We’ve already highlighted 7 FREE setups in our past crypto articles, including: Oasis Network ($ROSE), Chainlink ($LINK), Dogecoin ($DOGE), Polygon ($MATIC), Avalanche ($AVAX), SushiSwap ($SUSHI), and dYdX ($DYDX).
To add to this list, we’re bringing you some more setups that look very attractive. In the latter half of this month, we’ll review all the setups in one article to evaluate the performance. Our Motto is very simple, to help you Make Money. So let’s get to it!
1) The Graph ($GRT)