Crypto Industry News:
Although bitcoin experiences high price volatility, a large proportion of investors still refuse to sell their digital coins. According to Glassnode, the number of bitcoins kept on HODLers' addresses reached an 11-month high of 7,224,018,804 as of December 9th. This figure also includes those coins that are considered lost forever.
As Bitcoin HODLED hit a new high, the asset was trading at $ 49,400, posting over a 13% drop in the past seven days. Glassnode's data indicates that during the recent price decline, most investors continued to accumulate BTC.
Moreover, the HODL statistics presented above indicate the growing status of bitcoin as a store of value and a hedge against inflation. In this case, BTC becomes more and more "valuable", and any price drops make investing in a digital asset profitable.
Due to their high volatility, bitcoin and other cryptocurrencies are considered instruments that offer investors great opportunities to frequently switch between buy and sell modes. However, many cryptocurrency sympathizers believe that HODLING provides them with greater amortization because they are not exposed to short-term volatility by avoiding exposure to the risk of buying at a higher price or selling when the price falls.
Technical Market Outlook
After the reversal from the level of $51,545 which is the 61% Fibonacci retracement of the last wave down, the BTC/USD pair is currently testing the key short-term technical support located at the level of $47,126. The nearest technical resistance is located at the level of $51,913 (Pin Bar high) and $53,333. The momentum is picking up from the oversold conditions, currently hovering around the level of fifty on the RSI (14) indicator. Despite the recent complex and time consuming corrective decline in form of ABCxABCxABC pattern, the larger time frame trend remains up.
Weekly Pivot Points:
WR3 - $75,308
WR2 - $67,229
WR1 - $57,614
Weekly Pivot - $49,717
WS1 - $40,054
WS2 - $31,972
WS3 - $22,000
Trading Outlook:
The ABCxABCxABC complex corrective cycle might be terminated at the level of $41,678 and the market is ready to continue the up trend. According to the long-term charts the bulls are still in control of the Bitcoin market and the next long term target for Bitcoin is seen at the level of $70,000. This scenario is valid as long as the level of $39,474 is clearly broken on the daily time frame chart (daily candle close below $39,000 would be considered as a long-term trend change due to the lower low placement).