Bitcoin Price Analysis: BTC May Have Formed A Bottom, Is A Relief Rally to $100,000 Possible?
Bitcoin (BTC) registered a marginal decline on Friday despite reaching an intraday high of $93,161, ultimately settling at $90,9902. The flagship cryptocurrency is down 0.29% during the ongoing session, trading around $90,648.
Analysts believe Bitcoin may have carved out a local bottom after weeks of heavy selling, with one analyst stating a relief rally could see the price rally to $100,000.
BlackRock’s IBIT Registers $114M In Net Outflows
BlackRock’s iShares Bitcoin Trust (IBIT) recorded $114 million in net outflows on November 28 amid substantial volatility towards the end of the week. The outflow comes as investors continue reducing their exposure to digital assets. BlackRock stated it has observed clients pulling back from their Bitcoin positions during the ongoing market downturn. Several Bitcoin ETFs have reported heavy outflows, aligning with a broader strategy of reducing exposure to digital assets during market volatility.
Despite the substantial outflows from IBIT, spot Bitcoin ETFs ended Friday in positive territory thanks to fresh inflows into Fidelity, ARK Invest, and Grayscale ETFs. The ETFs collectively recorded inflows of around $71 million.
Bitcoin (BTC) Price Analysis
Bitcoin (BTC) may have hit a short-term bottom after weeks of selling. According to trader and analyst Mister Crypto, Bitcoin’s short-term structure is showing signs of stabilization after a major capitulation across the market. The analyst highlighted that several indicators tied to trader behavior suggest large players have started opening new positions despite market uncertainty. One of the main indicators cited by the analyst is the Relative Strength Index (RSI) on the weekly chart, which is approaching the oversold zone.
“We have been reaching the 30 level.”
The analyst pointed out that this zone has coincided with market bottoms during previous cycles. However, he cautioned that this does not guarantee the beginning of a new bull run, stating that the current setup only indicates a temporary reversal. However, Bitwise Europe head André Dragosch has said that BTC could have major upside ahead, and its current price does not reflect improving macroeconomic conditions.
BTC started the previous weekend in bearish territory, dropping over 5% and settling at $94,503. It recovered on Saturday, rising 1.10% to $95,544, but was back in the red on Sunday, dropping 1.42% to $94,183. Sellers retained control on Monday, BTC fell 2.21% to $92,100. The flagship cryptocurrency fell to an intraday low of $89,183 on Tuesday. However, it recovered from this level to reclaim $92,000 and settle at $92,914, ultimately rising 0.88%. Selling pressure returned on Wednesday, with BTC falling to a low of $88,483 before settling at $91,461.
Source: TradingView
Selling pressure intensified on Thursday as BTC fell over 5%, slipping below $90,000 and settling at $86,536. Bearish sentiment persisted on Friday as BTC plunged to an intraday low of $80,524 before rebounding to reclaim $85,000 and settle at $85,068. Price action was mixed over the weekend, with BTC falling 0.45% on Saturday before rising 2.51% on Sunday and settling at $86,808. Buyers retained control on Monday as BTC started the week in positive territory, rising 1.68% to $88,266. Selling pressure returned on Tuesday as the price fell 1.07% to $87,325. BTC recovered on Wednesday, rising nearly 4% to reclaim $90,000 and settle at 90,468. Buyers retained control on Thursday as the price rose 0.94% to cross $91,000 and settle at $91,316. BTC registered a marginal decline on Friday, settling at $90,902. The price is marginally down during the ongoing session, trading around $90,678.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.