Levels of resistance are currently set between $52,000 and $53,000 — and beyond that, the next challenge for bulls stands between $57,000 and $58,000.
It was a weekend to forget for Bitcoin — and as crypto investors dust themselves off and prepare for yet another rollercoaster week, there's only one question in town… what's next?
And in reply, there's only one word that seems to be dominating discussion right now: consolidation.
On Twitter, the analyst flibflib warned that $50,000 is likely to remain as a stubborn level of resistance "for a decent amount of time now" — and the scale of Bitcoin's latest dump means that consolidation could continue well into the first quarter of 2022. He warned:
"Moon mission is not dead but some will think cycle over."
Michaël van de Poppe went one further — and described current sentiment in the market as "literally comparable to a funeral."
Indeed, the Crypto Fear and Greed Index is currently flashing a score of 16 — Extreme Fear — a stark contrast from the high levels of greed that were last seen one month ago today.
Levels of resistance are currently set between $52,000 and $53,000 — and beyond that, the next challenge for bulls stands between $57,000 and $58,000.
And that's before we've even discussed any attempt to crack $60,000 — with bulls repeatedly trying (and failing) to head above this psychologically important price point last week.
Overall, as you can see, it's shaping up to be a long and painful journey — with impatient bulls yearning for a return to the prices of $68,789 that were last seen on Nov. 10.
Listen to the CoinMarketRecap podcast on Apple Podcasts, Spotify and Google Podcasts
Preparing for the Worst
When it comes to the bearish outlook, it seems that Bitcoin has little room for maneuver — with $47,000 regarded as the level that needs to be held to prevent another slide backwards.
A number of analysts fear that BTC may have to revisit $42,000 before any meaningful move upwards can be entertained. These levels served as strong support when the world's biggest cryptocurrency last suffered a substantial pullback in September.
