Continuity or decompression – Bitcoin (BTC) price continues to face stiff resistance near $23,400. Can the cryptocurrency really continue to rise, without its price having to undergo major corrections beforehand?
Technical trend and great resistance for the price of Bitcoin
Bitcoin price is hitting an intraday high and low at $22,549 and $23,475 on Bitfinex today, January 27, 2023. The cryptocurrency is trading at $23,159 at the time of writing this article. Its price is currently posting a daily gain of 0.67%.
Bitcoin price continues to swing back and forth above $23,000 as it approaches the weekly close. Trader Rekt Capital shared a chart showing the cryptocurrency “still holding its own technical uptrend over 4 hours. He also noted the “monthly resistance of $23400 (blue) just above”.
The 5-hour price chart of Bitcoin shows that the cryptocurrency continues to test the Tenkan Sen (black) and Kijun Sen (red) which serve as supportswhich for the moment appear to be resisting the downward pressure.
>> 10% reduction on trading fees? Register on Binance (commercial link)
Is a bullish continuation possible without a decompression?
Can Bitcoin price break above that $23,400 and turn that level into support at this weekly close, which will be two days before the monthly close? Rekt Capital has shared a chart of the cryptocurrency’s monthly RSI, which shows that this indicator is poised to ” confirm a return in the macro area – delimited by the two red lines.
Referring to historical data, Rekt Capital indicates that “a uptrend of CSR appeared right at the bottom” of this macro-zone (green zone).
One of the reactions to Rekt Capital’s post points out that the entire market is currently active overbought situationseen the value of the RSI, and that we should therefore wait before seeing other significant increases.
On a daily basis, Bitcoin’s RSI (14) which stands at just over 82 effectively shows that the markets are in an overbought zone at this time. However, on one basis weekly and monthlythe RSI value suggests that, in theory, the bulls still have some left margin ahead of a possible market decompression.
Referring to the whale concentration areas, on paper the price of Bitcoin could continue its ascent up to $27,100. Weekends and the end of the month are important deadlines for cryptocurrency. Bitcoin will have to sustainably overcome this resistance around $23,400 on these dates, to give a strong signal of possible bullish continuity.
Bitcoin is tough and resilient. Tomorrow or sometime soon, you’ll be glad you bought some during the crisis. Don’t wait too long to take advantage of the current buying conditions and save another 10% on your trading fees by following this link! Run to register on Binance ! (commercial link).
#Bitcoin #January #follow #trend
0 Comments