BTC, ETH and PAXG Price Analysis for December 18, 2023
The cryptocurrency market had a relatively tranquil weekend, with Bitcoin maintaining its support at around $41,000. Here's an overview of the market situation for Bitcoin (BTC), Ethereum (ETH), and Pax Gold (PAXG) as of Monday, December 18.
Bitcoin (BTC)
In the past week, sellers demonstrated strength, preventing the top cryptocurrency from surpassing the $43,500 resistance level. This indicates a likely intensification of the correction, possibly leading BTC to a new local low.
Currently, Bitcoin trades within the support zone of $40,200-$40,950. This range is pivotal in maintaining the asset's upward trend. If this zone fails, BTC could quickly decline to $39,200, with a potential further drop to $36,000.
Sell orders are primarily within the resistance zone of $42,200-$42,700. Above this range, resistance is seen at $43,400 and a seller zone of $43,900-$44,700. Until BTC tests these levels, a continuation of the uptrend remains speculative.
BTC chart on the H2 timeframe
Ethereum (ETH)
ETH's market situation closely parallels BTC's behavior. The asset is trading near a support zone of $2,150-$2,170, which is key to preventing further declines in Ethereum.
Should the main cryptocurrency's correction continue, ETH could drop below the current buyer zone and test the support at $2,104. Further decline could occur if BTC solidifies below the $39,000 mark.
Ethereum's growth prospects remain uncertain due to several resistance zones that need to be overcome. Seller orders are currently within ranges of $2,232-$2,262, $2,315-$2,358, and at the $2,403 level.
ETH chart on the H2 timeframe
Pax Gold (PAXG)
Overall, the market situation for PAXG remains unchanged since the last analysis. The asset is still trading between the support zone of $1,940-$1,960 and the resistance zone of $2,050-$2,072.
Considering the overall upward trend in gold, growth continuation for PAXG is anticipated. Above the current trading range, seller orders are positioned at the $2,100 level, which might trigger the next market reaction.
As for a deeper correction, this event seems unlikely. Sellers could push the price down to the support zone of $1,890-$1,910, but these levels and lower ones could present good accumulation opportunities on the spot.
PAXG chart on the Daily timeframe
This week, key economic indicators will be updated again, such as the U.S. Consumer Confidence Index and crude oil inventories (Wednesday, December 20), Q3 GDP and initial jobless claims (Thursday, December 21), and new home sales (Friday, December 22). While these events are unlikely to significantly impact cryptocurrency rates globally, they might cause heightened volatility when published.
Check out GN Crypto for the latest cryptocurrency rates and chart analysis.
Disclaimer
Please note that the analysis provided above should not be considered a trading recommendation. Before opening any deals, we strongly advise conducting your own research and analysis.
Abbreviations
TF (Timeframe) β a chronological period equal to the time it takes to form one Japanese candle on the chart.
Horizontal channel (flat, sideways, range) β the price movement between support and resistance levels, without going beyond the given range.
Π β simplified designation of one thousand dollars of the asset price (for example, 23.4K β $23,400).
Gray range on the chart β a support zone.
Red range on the chart β a resistance zone.
Correlation β the tendency of prices of different cryptocurrencies to move in sync, often influenced by the dominance of one of the assets.
Initial materials
This analysis was informed by the following educational materials and articles from GN Crypto:
