Bitcoin is steadily holding the $40,000 mark, becoming a stalwart for further growth despite the difficulty in recovering from significant losses in 2023. The recovery of the leading cryptocurrency after rebounding from last week's low of $40,200 is actively attracting the attention of traders and analysts, who are now focusing on new key support and resistance levels.
The next few days promise to be eventful for market volatility with the release of US macroeconomic data on December 12 and the Federal Reserve's interest rate decision the following day when Chairman Jerome Powell will share comments. Ahead of this possible confrontation involving more than just cryptocurrencies, important bitcoin price levels are in focus, especially holding the $40,000 mark.
Bitcoin's 7.5% drop in price after last week, though painful for holdout traders, was a reset of sorts for the cryptocurrency markets. This rebound brought bitcoin closer to the middle band of the Bollinger channel, creating an optimistic outlook for future growth. Observing the actions of large traders, analysts are highlighting encouraging signals following the sharp decline in open interest, which could imply that "institutional orders" are back in play. Nevertheless, questions remain regarding their activity at this level.
