Bitcoin Fights for Survival In A Parabolic Bull Market

Bitcoin was trading in a tight range of around $57k on Thursday morning despite major crypto assets being lower. Based on technical indicators, Bitcoin’s downside is capped at $53k, which suggests buyers will remain active towards $60K resistance.

As part of the U.S. Thanksgiving holiday on Thursday, strong dollar amid reports of an Indian Crypto ban trading volumes continue to decline. Although some analysts expect volatility to increase as November draws to a close in the bitcoin and ether options markets

Prices could move sharply over the next few days due to rising volatility, which could discourage buyers from holding onto positions for an extended period of time.

Whales deposit Bitcoins at exchanges. Curiously, the exchanges have continued to outflow money, which has resulted in the reserves remaining near their lowest levels since mid-2018.

In a report somewhat contradictory, Glassnode said long-term holders may not be spending as much as they were and are therefore more likely to be adding to positions than exiting them.

There are two confluences on the chart from a technical perspective: the first is the 38% Fibonacci retracement level, and the second is the trendline that dates back to March 2020 and serves as support.