Key discussion points:

• Amazon Denies Claims y Will Accept Bitcoin By Year-End
• Will Buyers Get Tracked on BTC / USD?

Bitcoin plunged below $ 40,000 once again after the largest cryptocurrency surpassed 17% in yesterday’s session after Amazon accepted the digital currency as a form of payment at the end of the year. re was little basis for the story, other than some reports from sources, but as with many cryptocurrency rallies, the rumors are enough to convince traders to buy Bitcoin and lead to a rally.

But the excitement dried up overnight when Amazon came out to deny the claims, calling them mere speculation. y said they were interested in the crypto space and would continue to explore options, which likely helped save some of yesterday’s rally.

BTC / USD1 hourly chart

Interestingly, within the rally we saw wavering at $ 40,000 before spreading higher, but even then the bullish momentum only managed to reach another 500 points before reversing, which is not a range for BTC. / USD. This area had previously had strong resistance since the cryptocurrency crash in May, so there is no confirmation of further bullish momentum until buyers can settle above $ 40,000. daily chart also shows a 100 DMA resistance converging towards the $ 40,000 mark, putting further downward pressure on BTC / USD.

BTC / USD daily chart

question now is whether we will see further follow-up to this rally as new buyers may find it more difficult to enter this level. If the pullback takes BTC / USD even lower, we could see a drop in buying and thus a possible extension of the rally. Otherwise, sideways consolidation is a great possibility as the recent two-month trend continues, but a drop below Fibonacci 38.2% (32,153) could increase the risk of a further decline below the $ 30,000 mark. .

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