BTC/USD Analysis – December 15, 2021

Bitcoin Price Prediction

The BTC/USD was closed at $48,408.0 after placing a high of $48,6560 and a low of $46,356.20. Despite various negative developments surrounding its ecosystem, BTC/USD changed its course again and recovered some of its previous day losses.

According to the latest comments issued by the Bank of England, Bitcoin could be worthless, and people investing in cryptocurrencies should be prepared to lose everything. The central bank of Britain warned of the potential risk for investors and questioned whether there was any inherent value in the most prominent digital currency, which has soared to more than $50,000 this year.

The deputy governor of the BOE, Sir Jon Cunliffe, said that the price of a digital currency could vary quite considerably and could theoretically drop to zero. The bank also said that there was little direct threat to the stability of the UK’s financial system from crypto assets as the current pace of growth has connected these digital assets with the traditional financial services, which poses several risks to the system itself. The bank also suggested that institutions take a cautious approach while adopting crypto-assets and pay close attention to the developments in the market. This report from BOE added negative pressure on the value of BTC/USD and capped further gains in its value.

Meanwhile, the Russian Central Bank continued its strict policies regarding the cryptocurrency industry and officially banned mutual funds from investing in cryptocurrencies. The Bank of Russia released an official statement regulating investment opportunities by mutual investment funds. According to the document, the fund managers were prohibited from buying cryptocurrencies and financial assets whose values depend on the prices of cryptocurrencies.

The statement emphasized that since mutual funds cannot provide crypto exposure to either qualified or unqualified investors, This statement added negative pressure on the whole cryptocurrency market and weighed on the leading crypto asset BTC/USD on Tuesday.

However, the popular cryptocurrency Bitcoin managed to end the day with minor gains due to some positive developments. Reports from Europe suggested that German saving banks planned to allow their customers to invest in major digital currencies, including BTC and ETH, from their checking accounts.

Sparkssen, or savings banks in German-speaking countries, worked on a pilot project to launch an in-house cryptocurrency wallet and exchange next year. This project is subject to approval by Sparkasse committees early next year. According to the German Savings Banks Association, more and more consumers are interested in cryptocurrencies, especially if One in ten customers of the German Savings Banks stated that they owned cryptocurrencies. This news from Germany supported the price of BTC/USD on Tuesday.

BTC/USD Intraday Technical Levels

Support Resistance

44970.5 49403.2

43163.9 52029.3

40537.9 53835.9

Pivot Point: 47596.6

BTC/USD - Technical Outlook

Bitcoin's price has dropped to the $46,000 support level. BTC appears to be creating a base above $46,000 and $46,400. A low was set near $45,759 before the price began to rise. On the flip side, an immediate barrier is near the $48,100 mark. The first significant barrier held near the $48,250 level. The next significant resistance level could be $48,800. It is close to the 61.8 percent Fib retracement level of the negative move from the swing high of $50,785 to the low of $45,759

If bitcoin fails to break over the $48,880 barrier level, it may trend downward. There is immediate support near the $47,500 level on the lower side. The first significant support is already emerging near $47,000. The primary support is presently close to $46,000. A breach below the $46,000 support level may increase losses in the immediate term.