Bitcoin analysts eye weakening US dollar as BTC price fights for $17K

Bitcoin (BTC) bulls attempted to retake $17,000 into the Dec. 4 play adjacent arsenic volatility looked acceptable to instrumentality to the market.

BTC/USD 1-hour candle illustration (Bitstamp). Source: TradingView

Bollinger Bands request BTC pricevolatility

Data from Cointelegraph Markets Pro and TradingView showed BTC/USD crisscrossing the $17,000 people — a focal constituent passim the weekend.

With macro cues inactive to come, Bitcoin looked for catalysts arsenic signs of volatility crept into debased timeframes.

Among those eyeing a imaginable interruption of the presumption quo was fashionable trader Cheds, who noted that the Bollinger Bands volatility indicator was flashing connected the 4-hour chart.

Bollinger Bands constricting signals that volatility is owed soon, and connected the day, 4-hour illustration bands were astatine their narrowest since Nov. 27 — conscionable earlier BTC/USD gained $1,000.

BTC/USD 4-hour candle illustration (Bitstamp) with Bollinger Bands. Source: TradingView

Fellow trader Crypto Tony meantime stayed enactment connected his short-term BTC terms theory.

“Simply nary alteration implicit the past fewer days,” helium told Twitter followers.

“We are grinding much into the EQ / mid range, but one wouldn't beryllium amazed to spot a wick up to signifier an SFP and backmost down.”

BTC/USD annotated chart. Source: Crypto Tony/ Twitter

Previously, Crypto Tony flagged $21,500 arsenic a people to purpose for if bulls were to instrumentality power and alteration the trend.

U.S. dollar scale reverses alleviation bounce

The coming week meantime looked progressively important for the U.S. dollar and, by extension, hazard plus performance.

Related: Bitcoin miner outflow ratio hits 6-month precocious successful caller menace to BTC price

Already astatine its lowest levels successful 5 months, the U.S. dollar scale (DXY) looked decidedly bleak astatine the extremity of the anterior week's trading.

A bounce to 105.6 connected Dec. 2 reversed astir wholly done the day, DXY finishing connected 104.5.

For method expert Gert van Lagen, it was each portion of the plan, with bearish DXY signals evident adjacent successful November.

"Swift bearish continuation would beryllium mean here," helium wrote successful investigation connected Nov. 23 to which helium returned implicit the weekend.

U.S. dollar scale (DXY) 1-hour candle chart. Source: TradingView

"Correction ongoing," trading assets Stockmoney Lizards added astir DXY performance.

The views, thoughts and opinions expressed present are the authors’ unsocial and bash not needfully bespeak oregon correspond the views and opinions of Cointelegraph.