BTC/USD Analysis – November 18, 2021

Bitcoin Price Prediction

The BTC/USD ended the day at $60,386.1, having reached a high of $60,847.0 and a low of $58,427.0. The BTC/USD continued its bearish trend for the third session in a row, falling to its lowest level since October 28th. The declining pressure surrounding Bitcoin was already declining amid the newly approved legislation requiring brokers to report every transaction worth more than $10,000. Two to three days ago, the declining pressure surrounding the BTC/USD increased after China expanded its cryptocurrency mining crackdown.

China has compelled its state-owned businesses to halt all cryptocurrency mining operations to enforce harsh penalties on firms that do not comply, including higher energy expenses. Because of the bitcoin miners, China has been striving to fulfil its carbon-neutral goal. The government has been blaming them for incidents like energy wastage and deadly coal mining accidents, which has prompted the government to take serious steps against cryptocurrency miners.

Furthermore, the intensified crackdown on miners in September was evoked by concerns over the country’s power supplies for the winter season. It was also why authorities started haunting impersonators of data researchers and storage facilities who were hiding the digital assets. All these developments surrounding the cryptocurrency market were weighing on the whole market, and hence, BTC/USD also started to decline.

Furthermore, the chief economist at Allianz, Mohamed El-Erian, has said that bitcoin would not be a global currency and would not replace the US dollar. However, he believes that cryptocurrency will always exist in the ecosystem and will not be regulated out of existence. He believed that bitcoin was a disruptive force and would never become a global currency against the US dollar.

The economic advisor revealed that he repurchased some bitcoins in 2018 when bitcoin fell to $3, and he was able to catch the entry point. He said he held on to his BTC position until late 2020, when BTC reached a $19,000 level. He also admitted that he misjudged when to sell due to behavioural mistakes. His comments also added extra negative pressure on BTC/USD, and the leading cryptocurrency dropped further.

BTC/USD Intraday Technical Levels

Support Resistance

58926.4 61346.4

57466.7 62306.7

56506.4 63766.4

Pivot Point: 59886.7

BTC/USD - Technical Outlook

Bitcoin is trading at 59,859 level, maintaining a narrow trading range of 61,350 – 58,550 level. Closing of doji and shooting star candles within this range is supporting indecision among investors. The double bottom support level provides solid support at the 58,000 level. However, Bitcoin has violated the intraday pivot point support level of 59,886.

The break below the 58,000 support level exposes the bitcoin price towards 57,850, 55,609, and 52,650 levels. The bullish crossover at 60,944 exposes the BTC/USD pair to 63,320 and 66,279 levels. All the best!