Bitcoin (BTC) has been consolidating near $23,000 for the past few days. The next big question troubling investors is whether the rally is over or if Bitcoin resume its recovery.
The strong year-to-date rally in Bitcoin has turned several analysts bullish in the short term. They anticipate Bitcoin to extend its up-move and reach $25,000 and even $30,000.
However, for the slightly longer term, analysts seem to be divided. In comments to Cointelegraph, economist Lyn Alden said Bitcoin could face “considerable danger” in the second half of 2023 as liquidity risks rise.
On the other hand, ARK Invest CEO and chief investment officer Cathie Wood said in a company video blog on Jan. 23 that crypto assets could witness a huge turnaround in 2023 as the Fed pivots due to falling inflation.
What are the critical support and resistance levels to watch out for? Let’s study the charts of the top-10 cryptocurrencies to find out.
Bitcoin has been witnessing a see-saw battle near $22,800. The bears want to stall the up-move at this level but the bulls are not willing to surrender.
The rising 20-day exponential moving average ($20,700) and the relative strength index (RSI) in the overbought zone suggest that bulls have the upper hand. Buyers will have to kick the price above $23,371 to start the next leg of the rally to $25,211.
If the price turns down from the current level and breaks below $22,292, it could trigger the stops of several short-term traders. That could intensify selling and the BTC/USDT pair could dive to $21,480.
If the price rebounds off this level, the bulls will again try to resume the up-move. The short-term trend may turn bearish below $20,400.
After forming Doji candlestick patterns on Jan. 22 and 23, Ether (ETH) turnedRead more on cointelegraph.com