$BTC
Crypto Market Sentiment and BTC Weekly Update – December 30, 2024
On December 28, I shared insights about Bitcoin (BTC) and the broader market conditions, emphasizing that as long as BTC remains above $90,000, both Bitcoin and altcoins remain relatively safe. Here’s an updated analysis based on recent market movements and weekly closing data.
Weekly BTC Candle Analysis
BTC’s weekly closing came in at $93,738, slightly lower than the previous week’s close.
On the weekly chart, we see an inverted hammer candle, which is typically considered a bullish reversal signal, indicating potential upward momentum.
Notably, BTC managed to close above the previous week’s low of $92,232, reinforcing this level as a key support zone.
CME Futures Gap Insight
On the 30-minute CME futures chart, there’s a noticeable gap at $95,100, which is likely to be filled soon.
Historically, such gaps act as price magnets, and we can expect BTC to potentially reclaim this level with strong upward momentum in the near future.
BTC Dominance and Altcoin Season
BTC dominance (BTC.D) is currently trading around 57.80%, reflecting a significant drop as anticipated.
This decline in dominance often signals a shift toward altcoins, setting the stage for a potential altcoin rally in early January. If BTC.D continues to drop, we may witness an explosive altcoin season soon, especially as the Altcoin Index currently hovers around 49, balancing between Bitcoin and altcoin seasons.
Fear & Greed Index
The Fear & Greed Index stands at 65 (Greed), reflecting a healthy but cautious optimism in the market.
Yesterday: 73 (Greed)
Last Week: 70 (Greed)
Last Month: 84 (Extreme Greed)
This decline from extreme greed to moderate greed suggests that the market is cooling off slightly, creating opportunities for strategic entries before the next surge.
Key Levels to Watch
. Monthly and Yearly Closing:
Monitor BTC’s monthly and yearly candles closely. Their shape and closing level will provide critical insights into market sentiment heading into 2025.
