Bitcoin (BTC) is back testing the key support zone between $75,000 and $82,000. This bounce off the October-November lows started strong, and the market is currently feeling pretty optimistic—many people are betting on a sharp, V-shaped recovery.
A lot of chatter about a December rally is in play right now, with some analysts expecting a run toward $95,000 or even $100,000, especially if the Federal Reserve (Fed) makes a call to cut interest rates. Although big money pulled out of BTC ETFs last month, there were signs by late November that institutions were stepping back in, which could give prices a boost.
The charts are sending mixed signals, but the short-term moving averages and a few key oscillators lean toward "Buy."
Looking at the CME open interest data, there is a huge pile of put options stacked up at the $95,000 level. This tells us a lot of traders are either anticipating a pullback there or are using it to hedge their bets. Even if it's just hedging, the $95,000 threshold is likely to act as a major wall. If Bitcoin can power through it, though, the path will open up to $100,000 and beyond.
The ultimate recommendation is to buy Bitcoin from $81,000. Lock in profits at $100,000. Place Stop Loss at $73,000.
Calculate your open position so that a potential loss (protected by a Stop Loss order) is limited to 1% of your deposit. If your account balance does not allow entering a position of this size, it is better to skip the trade and wait for other market signals that meet low-risk criteria.
This content is for informational purposes only and is not intended to be investing advice.
