Over the last week, Bitcoin fell below the mark of $3,300. It even passed two support levels at $3,250 and $3,200, however, it found support above $3,120. Is it likely that Bitcoin will rebound in the short term?
Bitcoin is trading around $3,430 at the moment of writing. It seems almost unbelievable as it was laying in the frame of $3,250. Now many expect the cryptocurrency to decrease again, however, it has to hold itself distant from the important support level which may possibly become a good base for a further bounce up.
Despite a common belief in the digital currency uptrend, there are many issues related to the low volume of Bitcoin transactions. December has obviously started in a bearish mood and continues this descending tendency until a big upward break. Nevertheless, for this run up to become real, it is required to have a lot of volumes. That is the main point, which is missing now, as only the volume can push the price to the moon.
According to the US-based fintech firm Weiss Ratings, which is focused on giving traders useful information and unique insights, Bitcoin has all the features that an investor might look for. Even though the virtual currency has lost 83% of its all-time high, it still has a lot to offer. First of all, Bitcoin is a good store of value and it is not going to disappear not now, not ever. But where the crypto coin will find support and bounce off depend on its reaction on key support and resistance levels.
“BTC is getting to such low levels that it’s becoming one of the best buying opportunities of the year. As a store of value, Bitcoin is here to stay. We truly think it’s the least speculative investment a person can make in crypto right now”, the official Twitter account states.