Fundamental view:

Bitcoin dropped sharply during the trading course of the week. Despite the large nominal $6.1 billion year-end options expiry, the bearish candle had a win. The yearend thin trading session could be the rationale behind the Bitcoin move. Elsewhere, some recent news also impacted the crypto king, Malaysian police have cracked down on a major electricity theft case involving bitcoin mining, local media reported. And  Cryptocurrency exchange Binance got into trouble with the Ontario Securities Commission (OSC) Thursday. Binance notified its users in June that Ontario was becoming a restricted jurisdiction and users may need to close their accounts. However, the crypto exchange sent a letter to its users Wednesday stating: As a result of ongoing and positive cooperation with Canadian regulators, there is no need for Ontario users to close their accounts by December 31, 2021.

On the other hand, some recent news was favorable for the Bitcoin. Almost 10,000 Bitcoin (BTC) left major United States-based exchange Coinbase (NASDAQ:COIN) on Dec. 30 in a sign that investor appetite is returning to the sphere. Shark Tank celebrity Kevin O’Leary, also known as “Mr. Wonderful,” has said he would be ready to increase his crypto allocations up to 20% as soon as there are clearer regulations around stablecoins.

The major economic events deciding the movement of the pair in the next week are OPEC Meeting, ISM Manufacturing PMI at Jan 04, ADP Nonfarm Employment Change, EIA Crude Oil Stocks Change, FOMC Minutes at Jan 05, Initial Jobless Claims, ISM Non-Manufacturing PMI at Jan 06 and Nonfarm Payrolls at Jan 07 for US.

BTC/USD Weekly outlook:

Technical View:

Last week’s high was 0.44% higher than the previous week. Maintaining high at 52083.4 and low at 45676.8 showed a movement of 6407 pips.

In the upcoming week we expect BTC/USD to show a bearish trend. The Instrument is trading below the 200 Simple Moving Average and the MACD trades to the downside. Should 43984.9 proves to be unreliable support then the pair may fall further to 41627.6 and 37578.3 respectively whereas a solid breakout above 50391.5 will open a clear path upward to 54440.8 and then will further raise up to 56798.1. In H4 chart M-Pattern breakout favors prospects of a bearish trend. Bearish harami pattern constructs a bearish outlook for the pair in the upcoming week.