December was a tough month for the price of BTC, declining from $59K to a monthly low at around $42K. Today is the last day for 2021, will BTC rebound back to $50K price mark?
Based on the fundamental factor, BTC options will expire on December 31. Max pain price is $47k. Even though it's hard to speculate about the effect of a massive expiry on the BTC market, better be careful and take preventive actions for possible volatility that may come immediately after.
From the technical perspective, there is a "buy" signal after bitcoin logged three straight days of losses this week. On the 4H chart, after the recent shakeout, bitcoin formed a reversal flag pattern and broke it from the top, then a nice pullback to the upper trendline – and a breakout was confirmed. Also, the MACD formed a "gold cross", and the RSI is also moving upward. BTC is likely to hit the previous resistance $50K - $52K today.