Bitcoin Thanksgiving gift, why BTC is heading for a new rebound

This Thanksgiving morning, Bitcoin has been trading in the green, gaining 4.1% on the 24-hour chart. When approaching the critical resistance level, the price of BTC is $59,042, and if it manages to break through $60,000 to provide support, there may be more appreciation in the short term.

BTC is showing an upward trend on the 4-hour chart. source: BTCUSD transaction view

Bitcoin has been in range volatility for the past week, and in most cases the volatility is low, as the price was rejected close to $60,000 on Monday. According to QCP Capital, institutional investors are most likely to be held responsible for price movements and any serious momentum that inhibits BTC price rebound attempts.

Related Reading | TA: Bitcoin that breaks this resistance to convergence may trigger a recovery

The company pointed out that when Bitcoin tried to regain its previous highs, the institutional investors had been increasing selling pressure. QCP Capital suspects that one or more players may depress the price of BTC in order to place put options on Bitcoin and Ethereum.

In this sense, as NewsBTC reported, the general sentiment in the market has declined. Most operators have entered a fear mode, but if selling pressure causes Bitcoin to fall further, they may enter a state of extreme fear. QCP Capital Add to:

We bet that the market will consolidate rather than break below. Therefore, we are taking this opportunity to short the volume of BTC and ETH and profit from our downside risk reversal positions and turn to an upside slope.

As of press time, Bitcoin’s current rebound to $60,000 seems to be quite strong, with support at the $55,000 to $58,500 area. According to the In/Out of the Money around Price indicator, more than 3 million addresses purchased 2 million BTC at these levels.

The great surrender before the new Bitcoin rally?

Jarvis Labs analyst Ben Lilly recently tried to answer the question that seems to be in the mouth of every trader and investor: Is the Bitcoin bull market over? As shown below, as long as BTC remains above $43,000, its bullish price momentum is valid.

Source: Jarvis Labs via Ben Lilly

In support of the bullish argument, Jarvis Labs recorded a large amount of institutional demand for Bitcoin. Historically, when BTC sees the accumulation of these levels from large investors, future price movements will strongly push up.

Bitcoin BTC BTCUSD FTX
Source: Jarvis Labs via Ben Lilly

Conversely, when BTC sees low demand for whales, it indicates that a cycle has come. Ben Lilly added the whale accumulation pattern in the past week:

(…) The whale began to intervene. This change may be reflected on the 30-day chart within a few weeks.

However, Jarvis Labs has been warning about the behavior of the Bitcoin derivatives industry in November. The industry’s financing interest rates have remained highly positive, and although they have declined with the recent downward trend, they still indicate that the market is overheating.

Related Reading | TA: Bitcoin continues to struggle, why BTC may fall below $55,000

Therefore, it seems still possible to retest the lows again and reset the market in an all-round way. This may be the last sacrifice for Bitcoin to hit a record high in 2021.



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