Bitcoin (BTC) has experienced a recent decline, trading at $96,954 as of December 20. This downward movement has attracted buying interest from bulls at lower price levels.
The cooler-than-expected inflation data from the United States, particularly the Personal Consumption Expenditures (PCE) index, has contributed to a shift in market sentiment. Federal Reserve Chair Jerome Powell's forecast of two rate cuts in 2025 has left traders questioning whether this is the onset of a deeper correction or a buying opportunity.
Analysts from Whalemap have indicated that Bitcoin's accumulation range is forming at current prices, with a significant zone identified between $60,000 and $67,000. The cryptocurrency broke below the support line of its ascending channel pattern, reaching the 50-day simple moving average (SMA) at $91,792. A rebound from this level suggests that bulls are defending it vigorously. However, the relief rally is expected to encounter resistance at the 20-day exponential moving average (EMA) of $99,142.
Should the price decline sharply from the 20-day EMA, the BTC/USDT pair could potentially fall to $85,000 and eventually to $73,777. Conversely, sustaining a price above the 20-day EMA could pave the way for a retest of the all-time high at $108,353.