Based on historical chart patterns, Bitcoin may see another week of consolidation before crossing $100,000.
Social sentiment for Bitcoin has bottomed out in 2024, which could signal an imminent recovery for the world’s largest cryptocurrency above $100,000.
Bitcoin ticker BTC has fallen $96,420 and is currently more than 10% below its all-time high of more than $108,300 set on Dec. 17. It was trading above $97,150 as of 12:38 UTC, according to Cointelegraph data.
After a 10% consolidation, social media sentiment regarding Bitcoin has fallen to its lowest point in 2024, with the average ratio of positive to negative Bitcoin-related comments at 4:5. However, this decline in sentiment among retail investors could be a sign that a Bitcoin breakout is imminent, market intelligence platform Santiment wrote in a December 22 X post.
“Vocabulary traders are now showing strong FUD, which is good news for outliers who know the market is moving in the opposite direction to retail investors’ expectations.”
Other crypto analysts also expect Bitcoin’s correction below $100,000 to end. On December 20, Bitcoin’s daily chart showed three consecutive red candlesticks for the first time since the first week of November, which coincidentally preceded Donald Trump’s victory in the US election.
Bitcoin fractals suggest bullish momentum, but BTC’s downtrend will continue for another week
Bitcoin could be poised for a recovery by the end of 2024 based on price fractal patterns used in crypto trading to identify key support and resistance levels based on historical data, as well as potential trend reversals. Based on fractals appearing on the daily chart, Bitcoin could rise to over $100,000 in the short term, analyst Elja Boom wrote in an X-post on December 20th.
However, Bitcoin’s correction could be extended for another week based on historical data, cryptocurrency analyst Rekt Capital wrote in an X-post on December 21st:
“In 2017, weeks 7, 8 and 9 were also corrections. In 2021, weeks 6 and 8 were corrections. Bitcoin is currently in week 7 and slowly moving into week 8.”
Nevertheless, Bitcoin’s price movement shows signs of optimism heading into 2025. According to cryptocurrency services provider Matrixport, improving macroeconomic conditions and easing of global monetary policies could push the Bitcoin price above $160,000 by the end of next year.
