Bitcointhe king of cryptocurrencies, has broken through several key resistances since the beginning of the year. After CoinGeckoThe coin is now up 14% on the weekly timeframe and is trading at $23,008, causing BTC to break the $22,000 and $23,000 resistance levels that have capped the cryptocurrency’s rise.
This year has both seen a complete reversal in investor sentiment towards cryptocurrencies Ethereum and Bitcoin saw massive gains along with the other top altcoins. This caused the entire crypto market to experience a resurgence in almost every aspect.
At the time of writing this article, the current market capitalization of the entire cryptocurrency market at $1.05 trillion CoinMarketCap.
Crypto Winter Thaw?
Twitter has been very bullish since the coin broke its last barrier line. analysts say that the breach of the $23,000 wall entry into this year bull market will be confirmed, with some aiming for $100,000 or more over the long term.
This recent price action led to massive liquidations of short positions on Bitcoin. There are several reasons why this BTC broke $23,000.
#Bitcoins / $BTC
When this finally breaks through, we see a glorious god candle at $30,000
Just don’t think that today is the day that will happen
Be careful and don’t get too greedy friends pic.twitter.com/22UMHUNBCv
— KALEO (@CryptoKaleo) January 20, 2023
Just a few hours ago the NASDAQindex jumped nearly 3% as technology stocks led the market rally. Bitcoin is strongly associated with the traditional financial space. This means that if major indexes like the NASDAQ continue to rise, Bitcoin will follow along with all cryptocurrencies.
With the broader financial scope eyed an economic soft landing, the upside in both the crypto and stock markets will continue as the situation improves. December Consumer Price (CPI) data added to the upbeat sentiment.
Image: Crypto News
What’s Next for Alpha Coin?
Bitcoin price action is expected to slow down somewhat in the short-term Analysts said the next target will be $30,000 in the coming weeks or months.
At the time of writing, bitcoin bulls should be attempting to consolidate above its current support at $22,661, which will be retested by the bears over the next few days as $23,328 resists today’s upside.
Chart: trade view
Investors and traders should also keep an eye on consolidation for now as market momentum could slow. Incidentally, the Bitcoin halving – an event that would reduce the total supply of Bitcoin in the market – would also provide upward pressure.
BTC Total Market Cap at $442 Billion on Weekend Chart | Chart: TradingView.com
Bulls should also keep an eye on the current situation in traditional finance. With the coins high correlation With the stock market, the future of Bitcoin will depend on the movement of the stock market along with improving macroeconomic trends.
For now, bitcoin holders should have enough strength to consolidate and target the $24.5K and $25K resistances.
Featured image by Helvetia
Source: Crypto News Deutsch