The daily candle on the <a href="https://www.cryptoknowmics.com/news/btc-has-set-a-new-high-of-23800/">BTC market</a> closed at $22,800 yesterday. Also, the trading volumes were the highest during the six-month of the Bitcoin trading history. With an overall growth of 11%, buyers could not keep the price near the historical high, feeling strong pressure from sellers. However, the temporary transfer of the initiative to sellers did not affect the BTC market at all.

The hourly timeframe clearly shows how actively buyers keep the price in the range of $22,500-22,770. The horizontal volumes that reveal the most interesting price zones on the BTC chart confirms the strong support in this range:

<img class="aligncenter wp-image-183518 size-full" src="https://www.cryptoknowmics.com/news/wp-content/uploads/2020/12/btc-1h-1.png" alt="BTC" width="1380" height="753" />

Thus, as long as buyers control the range of $22,500-22,700, the growth wave will continue without profound corrections.

Of course, yesterday's sudden test of $21,770 cooled some buyers. As a result, a symmetrical triangle was formed. And buyers are slowly but surely trying to break this triangle up. The temporary stop of Bitcoin allows investors to consider other options to increase their capital. Therefore, this stop gives a chance to other coins to catch up with the BTC price.

This hypothesis is confirmed by the <a href="http://Tradingview.com">dominance chart of BTC,</a> which is currently 66.2%:

<img class="aligncenter wp-image-183519 size-full" src="https://www.cryptoknowmics.com/news/wp-content/uploads/2020/12/btc-dominance-2.png" alt="BTC" width="1380" height="753" />
<h2>BTC Influence Is Decreasing</h2>
The growth rate of the BTC influence on the crypto market has slowed down and is ready to lower. This fact can significantly increase the growth of other coins and briefly slow down the growth of Bitcoin.

An alternative scenario of a sharp correction of the BTC price is possible after fixing the price below $22,500. In this case, buyers will have to defend around the mark of $20,700. If such a wave of fall happens - it will be the last chance for investors to buy BTC and other coins at reasonable prices. So, follow our Bitcoin analysis to be in touch with the price movements.

BTC Price Risks to Fall to $20,700 - Under What Conditions?

The horizontal volumes that reveal the most interested price zones on the BTC chart confirm the strong support in this range.

Peter came to know about cryptocurrencies in 2017 and was instantly enamoured by their massive potential. As he gained more insights about the crypto market, he began writing about it. Peter's daily activity is analysis and forecasting, studying the price movements probabilities, and trying to understand the market inside. He is glad to witness such a phenomenon as cryptocurrency and decentralized finance, and to participate in it.

BTC Price Risks to Fall to $20,700 - Under What Conditions?

Top Picks