Bitcoin price is ‘likely starting the next push up’ if $42K holds as support

February 17, 2022 Coin Telegraph

Bitcoin price is ‘likely starting the next push up’ if K holds as support

Multiple technical indicators suggest that BTC is preparing for a breakout, despite concerns about rising inflation and conflict in Ukraine.

The cryptocurrency market remains in a state of flux as investors are once again focused on what steps the U.S. Federal Reserve might take to combat rising inflation and markets wobble as the situation in Ukraine remains tense.

Data from Cointelegraph Markets Pro and TradingView shows that the price of Bitcoin (BTC) has hovered around the $44,000 support level and traders are hopeful that an inverse head and shoulders chart pattern will lead to a sustained bullish breakout.

*BTC/USDT 1-day chart. Source: TradingView*

Here’s a survey of what several analysts in the market are keeping an eye on moving forward as global issues from inflation to war continue to make their presence felt in the cryptocurrency market.

On-Balance Volume shows a bullish reversal

Insight into what may lie ahead for Bitcoin based on its On-Balance Volume (OBV), which is a momentum indicator that uses volume flow to predict changes in the price of an asset, was provided by market analyst and pseudonymous Twitter user ‘IncomeSharks’ who posed the following chart highlighting the bullish reversal in the indicator.

*BTC/USD 1-day OBV chart. Source: Twitter*

The analyst said,

“And people telling me we aren't bottomed out... This is almost a more bullish move than last time we went from $30,000 to $60,000. Double bottom, very sharp bullish V spike. Price action is just noise and people are listening too much to Crypto Twitter.”

Bullish if BTC holds $42,000

A similar bullish take on the current price action for BTC was offered by analyst and pseudonymous Twitter user ‘CredibleCrypto’, who posted the following lower time frame chart that indicates Bitcoin has more room to run.

CredibleCrypto said,

"Strong moves up, shallow pullbacks, continuation. As long as $42,000 holds LTF wave structure indicates we are likely starting the next push up.”

Bitcoin price could increase by 25%

A final bit of analysis that also took BTC momentum into consideration was offered by market analyst and Twitter user Caleb Fransen, who posted the following chart that included the Williams%R oscillator, a momentum indicator that measures overbought and oversold levels.

According to Fransen, “when there is a full oscillation from “oversold” to "overbought", it indicates a momentum thrust,” an event that has occurred six times for Bitcoin since January 2020.

Fransen said,

“After the weekly thrust, the average 1-month return is +25%. The Williams%R is attempting to complete the 4-week momentum thrust right now. I'll be very optimistic if (big "if") Bitcoin can secure a strong weekly close.”

The overall cryptocurrency market cap now stands at $1.999 trillion and Bitcoin’s dominance rate is 42%.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.

Traders say $4,000 Ethereum back on the cards ‘if’ this bullish chart pattern plays out

February 15, 2022 Coin Telegraph

Traders say ,000 Ethereum back on the cards ‘if’ this bullish chart pattern plays out

BTC Markets

Global tensions that could trigger a correction in markets abound, but traders say ETH’s current setup could result in a swift return to the $4,000 level.

Global and macroeconomic concerns ranging from rising inflation rates in the United States to the prospect of Russia invading Ukraine continue to spark volatility in financial markets.

To the surprise of many analysts, the mood in the cryptocurrency market shifted in a positive direction on Feb. 15 after Bitcoin (BTC) climbed to $44,500 and Ether (ETH) regained support at $3,100.

Data from Cointelegraph Markets Pro and TradingView shows that after bouncing off a low of $2,826 in the early trading hours on Feb. 15, the price of Ether rallied 11.4% to a daily high of $3,148.

*ETH/USDT 4-hour chart. Source: TradingView*

Here’s a look at what several traders in the market are saying about the recent price action for Ether and what to be on the lookout for in the weeks ahead.

Ether is in a heavy resistance zone

The stiff resistance facing Ether was addressed in a tweet by independent market analyst Michaël van de Poppe, who posted the following chart outlining the major support and resistance zones for the top altcoin.

*ETH/USDT 1-week chart. Source: Twitter*

van de Poppe said,

“Ethereum, just like Bitcoin, was rejected at weekly order block and heavy resistance zone, ending up in a red candle for the week. With the uncertainty arising for the coming week, I'm not expecting this to break and expecting lower tests.

Bulls could exploit the inverse head and shoulders pattern

A more positive take on the path ahead was offered by crypto trader and pseudonymous Twitter user ‘Phoneix’, who posted the following chart providing one possible trajectory for the price of Ether.

*ETH/USDT 4-hour chart. Source: Twitter*

Phoenix said,

“We're going to play Ether this way, right?”

Bitcoin and Ether have similar daily charts

A final bit of insight into the long-term price structure for Ether was addressed by trader Glen Goodman, the author of The Crypto Trader. Goodman posted the following charts comparing the formation of an inverse head and shoulders formation on the BTC and Ether charts, noting that the “head & shoulders patterns are nearing completion.”

*BTC/USDT vs. ETH/USD 1-day chart. Source: Twitter*

Goodman said,

“A couple of worries - the patterns are a bit sloping and irregular.....and also there's the small matter of Ukraine. Wars have a tendency to mess up nice chart patterns."

The overall cryptocurrency market cap now stands at $1.978 trillion and Bitcoin’s dominance rate is 42.2%.

Bitcoin price consolidates in critical ‘make or break’ zone as bulls defend $42K

February 14, 2022 Coin Telegraph

Bitcoin Price

Analysts express mixed views on BTC’s short-term prospects, but most agree that $42,000 is the level to watch.

The waiting game continues for crypto traders after Bitcoin (BTC) is once again pinned below resistance at $43,000 and awaiting some spark in momentum that can sustain a rally back to the $50,000 range.

Data from Cointelegraph Markets Pro and TradingView shows that the price of Bitcoin has traded in a range between $41,500 and $43,000 over the past couple of days and with tensions between Ukraine and Russia escalating, many traders are less then optimistic about Bitcoin's short-term prospects.

Here’s a look at what analysts are saying about their short-term expectations for Bitcoin price.

Is Bitcoin on a path to zero?

Well-known cryptocurrency perma-bear Peter Schiff made sure to chime in on the latest struggles for Bitcoin by posting the following chart pointing to a double top on BTC as a sign that the digital asset is set to drop to $0.

Schiff asked followers to “imagine how bad this chart will look once Bitcoin breaks below $30,000,” and he direly predicted that “If this double top completes, the real floor is zero!”

Schiff said,

“A drop to $10,000 would seem like a lock, but there's no reason to believe that level would hold up as a permanent floor.”

A more in-depth read on the current chart formation was provided by crypto analyst and pseudonymous Twitter user ‘TechDev’, who posted the following chart which divided the “year-long BTC range” into 2-week-long sub-ranges.

TechDev said,

“Closing outside one has granted weeks of price action in the next. Yesterday's 2W close above $40,000 suggests the previous close was a deviation. Current 2W key in determining which sub-range we'll be spending the next few weeks.”

“Bullish crossover happening now”

Evidence that the price of Bitcoin could soon start heading higher was noted by market analyst Caleb Franzen, who posted the following chart looking at the daily candles for BTC since October 2020.

Franzen said,

“The red & white indicators use linear regression analysis to measure the slope of the regression on different time frames (slow vs. fast). Crossovers are bullish/bearish depending on the direction. Bullish crossover happening now…”

Was the dip below $40,000 a bear trap?

The recent dip in BTC price below support at $40,000 was addressed by crypto trader and pseudonymous Twitter user ‘Phoenix’, who posted the following chart suggesting the dip was a deviation designed to “suck in traders on the wrong side” and “trap breakout traders” by making them “load higher/lower targets.”

Phoenix said,

“History doesn't repeat, but it often rhymes. Chances are there that this was just another deviation. At least the sentiment matched near the lows, that's for sure.”

The overall cryptocurrency market cap now stands at $1.892 trillion and Bitcoin’s dominance rate is 42.5%.

Analysts say Bitcoin price is in the ‘profit-taking’ zone with a ceiling at $45K

February 12, 2022 Coin Telegraph

Bitcoin Price

BTC bulls want to confirm this week’s trend reversal, but analysts warn that Bitcoin price is in a “profit-taking” zone where $45,000 is expected to stand as resistance.

The price action for Bitcoin (BTC) continues to tantalize investors and once again, concerns over the state of the global economy and rising inflation have prompted warnings that the Fed's upcoming interest rate hikes could do more damage then good to the state of the market.

Data from Cointelegraph Markets Pro and TradingView shows that the price of BTC has hovered near the $43,000 support level in trading on Feb. 11 after rallying 20% from the $37,000 leve over the past week.

Here’s a look at what analysts expect next for BTC and the wider cryptocurrency market.

“Expecting a move to $40,000”

Insight into the bullish and bearish scenarios related to Bitcoin price was offered by crypto trader and pseudonymous Twitter analyst ‘Crypto_Ed_NL’, who posted the following chart outlining two possible BTC price trajectories.

*BTC/USDT 4-hour chart. Source: Twitter*

Crypto_Ed_NL said,

“Checking my latest chart with the current situation. Nothing changed. Expecting a move towards $40,000. Bullish scenario indicates a bounce to $48,000. Bearish comes in play when we break $40,000.”

A confluence of resistance levels for BTC

Bitcoin now finds itself trading in an increasingly tighter rage at these current levels in large part due to “the sharp $12,000 move off the lows” of Feb. 4, according to a recent report from Delphi Digital, which noted that BTC is now “heading into resistance on multiple timeframes.”

As the price action for BTC heads toward a confluence of daily, weekly and monthly resistance, Delphi analysts suggests that “market participants of all kinds will be looking at this as a potential price ceiling” and that it represents “a logical place to expect profit-taking/risk reduction activity due to the confluence of resistance zones and the speed and magnitude of the move off recent lows.”

*BTC/USD 8-hour chart. Source: Delphi Digital*

As for the key areas to keep an eye on moving forward, Delphi highlighted a significant amount of support for BTC in the $40,000 to $41,000 range with the next level of support below that at $38,500.

When it comes to the possibility of a move higher for BTC, Delphi Digital listed the zone from $46,000 to $48,000 as a heavy resistance area.

The report noted that,

“This is the daily, weekly and monthly supply zones that will likely be a heavy level of resistance. Above this level and we likely see a squeeze towards $50,000.”

On a positive note, Delphi also highlighted the recent uptick in institutional flows over the past couple of weeks “as the market started to stage a comeback.”

*Monthly fund flows for select digital asset investment product groups. Source: Delphi Digital*

According to Delphi Digital, Grayscale is the biggest player in the institutional game with “roughly 65% of Institutional AUM,” but there are signs emerging that sentiment is beginning to shift.

Delphi Digital said,

“Excluding BTC and ETH, Binance Coin (BNB), and BNB-based products, have continued to attract the most AUM, but institutional sentiment is starting to favor alternative names like SOL.”

Bulls could exploit this classic trading pattern

A final bullish perspective for BTC moving forward was offered by crypto analyst and pseudonymous Twitter user ‘IamCryptoWolf’, who posted the following chart outlining one possible Bitcoin price trajectory.

IamCryptoWolf said,

“Everyone calling for $46,000, what if $50K --> $46K --> $60K, printing an inverse head and shoulders?”

The overall cryptocurrency market cap now stands at $1.97 trillion and Bitcoin’s dominance rate is 41.9%.

Analysts say Bitcoin’s range-bound trading at a key support level reflects a trend reversal

February 10, 2022 Coin Telegraph

Bitcoin Price

BTC’s journey into the $43,000 to $46,000 price range could be another sign that the multi-month correction has ended.

Bitcoin (BTC) and cryptocurrency holders are enjoying the fruits of their labor on Feb. 10 after Bitcoin price rallied shortly after the U.S. Bureau of Labor Statistics showed a blistering 7.5% Consumer Price Index (CPI) print. This shows that inflation continues to worsen as fiat currencies bleed out their purchasing power.

Data from Cointelegraph Markets Pro and TradingView shows that after trading below $44,000 during the early hours on Feb. 10, the price of Bitcoin spiked to an intraday high at $45,850 following the release of the CPI data and most major stock market indices plunged into the red.

Here’s a look at what several analysts are saying about how Feb. 10’s CPI print could affect the price action for BTC moving forward and what levels to keep an eye on as the world grapples with high inflation.

Bitcoin enters a new cycle

“We are in a new cycle now” according to Ran Neuner, host of CNBC’s Crypto Trader, who posted the following chart highlighting the February BTC breakout as part of a cyclical pattern that Bitcoin has been trading in over the past year.

As shown in the chart above, this is the second time in less than a year that BTC has reversed course to head higher following a steep downtrend.

Neuner said,

“This CPI pump is confirmation that CPI/Interest rate hikes are part of the old cycle. Ever since we broke the trend line, the news is different, the narrative is different. It's not a coincidence. Be a cyclist.”

Analysts say the multi-month correction is over

Further insight into this trend reversal following a three-month correction was provided by technical analyst and pseudonymous Twitter user CryptoBirb, who posted the following chart detailing the range-bound trading for BTC over the past year stating “with a bit of luck, Bitcoin may see follow-through to the upside, even beyond $50,000.”

Should BTC manage to hold its momentum at these levels, “Bitcoin has near targets of $46,300–$46,500.”

CryptoBirb said,

“The most important line in the sand is defined at $51,000 by the price action of Bitcoin. That level could be expected to work as a magnet for BTC/USD if we are to see follow-through to the upside.”

BTC price decouples from equities

The bullish performance seen across the cryptocurrency markets in February was addressed in comments by Dalvir Mandara, a quantitative researcher at Macro Hive, who noted that the “impressive gains” have come “on the back of markets digesting increased Fed hawkishness and pricing in more hikes, as well as the ECB pivoting to potential hikes in 2022.”

According to Mandara, the fact that the crypto market has been able to rally higher despite tighter than expected liquidity conditions “suggests macro factor may be affecting them less than before.”

Mandara pointed to Bitcoin's correlation to tech stocks, which has now “fallen from the highs of 75% last week to 50% this week” as evidence for this shift in impact on the BTC price.

*Rolling 30-day correlation between BTC and NASDAQ. Source: Macro Hive*

Mandara said,

“Overall, we still think the macro backdrop is negative for crypto but on-chain/flow metrics have turned more positive so we are moderately bullish on balance.”

The overall cryptocurrency market cap now stands at $1.996 trillion and Bitcoin’s dominance rate is 41.9%.

Bitcoin bulls aim to solidify control over BTC price by flipping $44K to support

February 8, 2022 Coin Telegraph

Bitcoin bulls aim to solidify control over BTC price by flipping K to support

bitcoin futures

Bulls seek to flip $44,000 to support and analysts forecast further upside for BTC, calling the asset “the Amazon of our time.”

Hope for the possibility of another significant rally in the cryptocurrency market has returned, even though Bitcoin (BTC) rejected at $45,500. Currently, bulls are looking to shore up their defense at the $43,000 support level.

Data from Cointelegraph Markets Pro and TradingView shows that after making a run to a weekly high at $45,500 early on Tuesday, bears managed to drop the price of BTC to $42,900 during afternoon trading as investors realized profits and prepare to place bids around $38,000.

Here’s a look at what analysts are saying sparked the rally in BTC price over the past week and what levels to keep an eye on moving forward.

Legitimate breakout or a short squeeze?

The sudden move higher caught many traders off guard as headlines across the crypto space were predicting the onset of an extended bear market, but such dire warnings may have been premature based on data from a recent report from Glassnode. The blockchain analysis firm stated that “prices have bounced off a number of fundamental levels that have historically signaled undervaluation or a ‘fair value' price.”

Through analyzing the data of liquidations on futures exchanges, Glassnode surmised that while the Long Liquidation Dominance charts “show that shorts have been on the back-foot this week, with a minor skew towards short side liquidations,” the lackluster magnitude of this metric indicates “that it is unlikely that price upside is being primarily driven by a short squeeze."

*Bitcoin futures open interest daily change. Source: Glassnode*

Glassnode noted that during previous instances of major price declines, the futures open interest (OI) saw significant drawdowns or “de-leveraging events” as shown by the large downward red spikes on the graph above, a feature which is noticeably absent from this latest price decline.

Glassnode said,

“This may indicate the probability of a short squeeze is lower than first estimated, or that such an event remains possible should the market continue higher, reaching clusters of short seller stop-loss/liquidation levels.”

“We’re still in a traders' market”

The forces in the wider financial markets that are impacting Bitcoin price were addressed by David Lifchitz, managing partner and chief investment officer at ExoAlpha, who highlighted the recent correlation between BTC and tech-stocks and questioned what it will take for “Bitcoin to get its destiny back in its own hands.”

According to Lifchitz, “stocks are still in ‘la-la-land’ whereas bonds are more in reality,” helping to provide a clearer picture as to the strength of the global financial markets based on the fact that “bonds tend to lead the way for stocks, and bonds are already struggling.”

When it comes to what comes next for BTC, Lifchitz offered reassuring words for bulls worried about the large head and shoulders pattern on the BTC chart, stating that the pattern was "invalidated by the recent bounce in BTC price."

Moving forward, Lifchitz identified the near-term targets for Bitcoin at $48,000, $51,000 and $53,000 but warned that there is a possibility for a “pullback to the mid/high $30,000s” before hitting $53,000.

Lifchitz said,

“In the meantime, we're still in a traders' market with opportunities to grab a few points here and there between the soft targets: profits should be quickly taken off the table on each small pullback, then rinse, repeat. Without any macro catalyst, it's hard to see Bitcoin trend much higher in a straight line.”

Bitcoin is “the Amazon of our time”

A final bit of insight into the price action for Bitcoin as it compares to the growth of Amazon stock price was offered by analysts at Macro Hive, a financial market research outlet that considers Bitcoin to be “the Amazon of our time.”

Macro Hive highlighted that “even Amazon suffered large drawdowns that took years to recover from” and they suggested that “your exposure to Bitcoin needs to be appropriately sized so that you can survive 50% to 80% drawdowns.”

*Amazon stock price performance. Source: MacroHive*

MacroHive said,

“But major drawdowns also provide good entry levels for exposure. Our metrics suggest that we are getting closer to that point, so we would consider accumulating exposure. However, we would not go max long in an environment of rising central bank rates and falling global growth momentum.”

The overall cryptocurrency market cap now stands at $1.949 trillion and Bitcoin’s dominance rate is 41.7%.

Bitcoin price dips below $37K as a descending channel pattern comes back into play

February 2, 2022 Coin Telegraph

Bitcoin Price

Bitcoin’s repeat visit to the sub-$37,000 range is re-enforcing analysts’ view that BTC is either set for a lengthy consolidation or further downside.

The crypto market is once again in the red on Feb. 2 as global financial markets continue to see increased volatility.

Data from Cointelegraph Markets Pro and TradingView shows that after spending the morning hovering around $38,200, BTC was hit with a wave of selling that pushed the price to $36,800.

Here is what several analysts and traders are saying about Wednesday's Bitcoin price action and what areas to keep an eye on moving forward.

Bulls are in trouble below $36,700

Insight into the major support and resistance zones of note for Bitcoin was provided by crypto trader and pseudonymous Twitter user ‘HornHairs’, who posted the following chart indicating a solid level of support near $37,400.

*BTC/USDT 1-hour chart. Source: Twitter*

According to the analyst, after finding support at this level, “a move back to $38,000s is just a bearish retest unless we can reclaim $38,700.”

That being said, a bearish move could see the price continue to slide lower with the chart above indicating that bulls are in trouble below $36,781.

HornHairs said,

“A drop below $36,700 and a move to take out range low seems likely, seeing as we took out the range high yesterday.”

Will the fourth attempt be the charm?

A look at the descending price action for BTC since topping out in November was provided by crypto trader and pseudonymous Twitter user ‘Daan Crypto Trades’, who posted the following chart highlighting the difficulty Bitcoin has had at breaking above this trend.

Daan Crypto Trader said,

“Everyone seems to be watching this same line now which could cause for some fakeouts. So be cautious for that. It's currently testing the diagonal for the 4th time. When will it break?

“A fully intact bull market that is consolidating”

A forward-looking analysis on what could come next for Bitcoin was summarized by technical analyst and pseudonymous Twitter user ‘Decodejar’, who posted the following chart outlining a possible move lower for the top cryptocurrency.

According to Decodejar, this is a common chart being circulated by analysts which shows a “bearish ABC wave 4 expanded flat, ending below last year's lows.”

While this is a common pattern, Decodejar indicated that “there’s not much volume for an impulse” and he doesn’t “think we break last year's lows.”

Decodejar said,

“What this all boils down to is that the correction is likely almost done at these levels, even if the market needs more time. What I do not see is a bear market, in fact, I am sick of hearing it. I see a fully intact bull market that is consolidating.”

The overall cryptocurrency market cap now stands at $1.729 trillion and Bitcoin’s dominance rate is 41.1%.

Fidelity: Bitcoin is a ‘superior form of money’

February 1, 2022 Coin Telegraph

Bitcoin Analysis

Fidelity argued Bitcoin should be considered separately from the rest of the digital asset market as no other altcoin comes close to its properties

Fidelity, the multinational brokerage giant, released a paper on Bitcoin (BTC) titled Bitcoin First. The financial services provider calls for BTC to be treated separately from the rest of the digital assets.

The paper argued that BTC is fundamentally different from the hundreds of other digital assets trading in the market and no other digital asset is likely to overtake the top cryptocurrency “as a monetary good.”

Fidelity’s paper called Bitcoin a superior form of money rather than just a tech. It is the most ”secure, decentralized form of asset and any "improvement" will necessarily face tradeoffs.” The paper read:

“Bitcoin clearly possesses a lot of good qualities of money, combining the scarcity and durability of gold with the ease of use, storage and transportability of fiat.”

The global financial service provider believes BTC possesses all qualities of being a sound form of money as it doesn’t have an organization running it and it doesn’t pay a dividend or have cash flows. The scarcity and decentralized nature of Bitcoin only add to its properties of being a perfect monetary tool.

“We won’t be so bold as to predict there will only ever be one money, but we do believe that one monetary good will come to dominate the digital asset ecosystem due to the very powerful effects of networks.”

Fidelity sees BTC as an entry point for traditional investors into the digital asset market and suggested that investors should incorporate two separate frameworks for investing in digital assets: One should be focused around Bitcoin as a monetary good (asset class) and the second should be focused on rest of digital assets that exhibit venture capital-like properties.

Satoshi Nakamoto, the pseudonymous creator of Bitcoin also intended it to be a sound form of money and BTC proponents have argued the same for a decade. However, the fact that a global financial service provider sees BTC as a superior form of money could be a sign of greater adoption ahead.

Bitcoin ‘gives back gains’ after Fed comments ‘add downside risks’ to crypto markets

January 27, 2022 Coin Telegraph

Bitcoin Price

Analysts foresee prolonged weakness in BTC and altcoins following hawkish comments from the Federal Reserve.

Bitcoin (BTC) price continues to flash mixed signals, raising uncertainty among investors and negatively impacting asset prices across the market.

Data from Cointelegraph Markets Pro and TradingView shows BTC price pinned below $36,000 and even though crypto and equities markets underwent a brief relief rally on Jan. 26, comments from the recent FOMC meeting appear to be settling in as investors internalize the fact that interest rate hikes are on the way.

Here’s a look at what analysts and traders are saying about Bitcoin's most recent price action and the macroeconomic factors impacting the wider crypto market.

A year of "range bound" trading

The long-term range-bound trading that BTC has been in since early 2021 was addressed by Mike McGlone, senior commodity strategist for Bloomberg Intelligence, who posted the following chart and asked, “What ends Bitcoin, Ethereum range trade?

According to McGlone, the key to escaping the current range are the “bullish fundamentals” that back the underlying strength of Bitcoin.

McGlone said,

“By the rules of economics, a market with rising demand and declining supply will go up over time, suggesting that Bitcoin may be forming a bottom again around $30,000 as $60,000 resistance ages.”

The Fed continues to add downside risks

A deeper analysis on the impact of Jan. 26’s Federal Reserve meeting was provided by Bilal Hafeez, CEO and head of research at Macro Hive, who noted that the tone of the meeting “turned out to be more hawkish than expected.”

Hafeez pointed to the decision by the Fed to raise the inflation forecast as a sign that the central bank has realized that “they need to be more hawkish than before,” and he highlighted Powell’s comments that “this cycle would be different to the last cycle, which suggests faster hikes than before.”

With that being said, Hafeez indicated that the Fed “has not decided on a path yet,” and noted that Powell “didn’t give much additional information on quantitative tightening except that it would operate in the background.”

Hafeez said,

“Overall, the Fed is comfortable with equity and risk markets selling off as it tightens financial conditions and so could reduce inflation. Bond yields have risen after the meetings, equity and crypto markets have given back gains. The Fed continues to add downside risks to risky markets.”

Short-term weakness, long-term strength

The near-term outlook for BTC was briefly touched upon by derivatives traders and pseudonymous Twitter user Crypto McKenna, who posted the following chart and stated that “BTC price action is about to get very boring.”

McKenna said,

“No trade season for the next 10–20 days in my opinion.”

Despite this projection for near-term weakness and sideways price action, the long-term outlook continues to brighten for multiple reasons, as noted in the following Tweet from crypto analyst Will Clemente.

Bitcoin price weakness because of risk-off behavior while fundamentals strengthening: Intel creating mining chips, Russia looking to get involved in mining, Goldman Sachs bullish, Google partnership w/ Coinbase, El Salvador Bond.

Hard to think asymmetry is to the downside.
— Will Clemente (@WClementeIII) January 27, 2022

The overall cryptocurrency market cap now stands at $1.663 trillion and Bitcoin’s dominance rate is 41.5%.

Analysts say Bitcoin’s bounce at $36K means ‘it’s time to start thinking about a bottom’

January 24, 2022 Coin Telegraph

<div>Analysts say Bitcoin’s bounce at K means 'it’s time to start thinking about a bottom'</div>

Bitcoin Price

Top traders are starting to search for optimal long entries for BTC even as concerns about the Federal Reserve’s new policy directive weighs on stocks and crypto markets.

Bears remain in full control of the cryptocurrency market on Jan. 24 and to the shock of many, they managed to pound the price of Bitcoin (BTC) to a multi-month low at $32,967 during early trading hours. This downside move filled a CME futures gap that was left over from July 2021.

Data from Cointelegraph Markets Pro and TradingView shows that the $36,000 level was overwhelmed in the early trading hours on Monday, leading to a sell-off that dipped below $33,000 before dip buyers arrived to bid the price back above $35,500.

Here’s a look at what several analysts are saying about the macro factors at play in the global financial markets and what to be on the lookout for in the months ahead.

"Rate hikes don't kill risk assets"

For several weeks the dominant conversation in U.S. financial markets has been the prospect of up to four interest rate hikes by the Federal Reserve over the course of 2022, which many people have claimed will put an end to the current bull market.

But according to financial analyst and pseudonymous Twitter user Tascha, this is a common misconception because “rate hikes don’t kill risk assets.”

Tascha said,

“Reversal of quantitative easing does. Check what happened to stocks 2015 and 2018 when Fed turned off the tap.”

Further insight into Tascha’s tweet was provided in the following reply from pseudonymous Twitter user RK Maruvada.

Is it time to think about a bottom?

A bit of hope for the crypto faithful was provided by technical analyst and Bollinger Bands creator John Bollinger, who posted the following tweet suggesting that “it’s time to start thinking about a bottom in cryptos.”

It's time to start thinking about a bottom in cryptos. However the ability to get outside the lower Bollinger Band repeatedly strongly suggests a retest of some sort will be needed. My plan is wait for a bottom and a bounce, then look for a retest as an entry. $btc, $eth, $ltc...
— John Bollinger (@bbands) January 24, 2022

While the well-known analyst thinks that the market may be in the general area of a bottom, caution is still warranted and a bounce followed by a retest is needed before looking to enter a long position in BTC.

Opening a Bitcoin long “looks attractive here”

A final bit of analysis was provided by macro strategist and Delphi Digital co-founder Kevin Kelly, who indicated that “the big question now is where will the next wave of demand come from and what level do we need to hit for it to trigger such bids?"

*BTC/USD 1-day chart. Source: TradingView*

According to Kelly, “the mid-to-high $30,000s for BTC is a safe bet,” especially due to the widely held belief by many that Bitcoin could see a “run up to $70,000.”

This would mark a 75% gain from the current levels, which “large capital allocators would salivate at the opportunity to capture” from Kelly’s view, “even if it takes a year or longer to realize such gains.”

Kelly said,

“That is why we firmly believe BTC looks attractive here for those with a long enough time horizon, especially when compared to traditional alternatives to park your capital.”

This sentiment that BTC is at a good level for a long was also echoed in the following tweet by cryptocurrency analyst and Twitter user Will Clemente.

Don’t think asymmetry is skewed to the downside for BTC here.

For the long term investor this is a good area to DCA in some heavier buys IMO.
— Will Clemente (@WClementeIII) January 24, 2022

The overall cryptocurrency market cap now stands at $1.594 trillion and Bitcoin’s dominance rate is 41.9%.

BTC Markets

On-Balance Volume shows a bullish reversal

Bullish if BTC holds $42,000

Bitcoin price could increase by 25%

Ether is in a heavy resistance zone

Bulls could exploit the inverse head and shoulders pattern

Bitcoin and Ether have similar daily charts

Is Bitcoin on a path to zero?

“Bullish crossover happening now”

Was the dip below $40,000 a bear trap?

“Expecting a move to $40,000”

A confluence of resistance levels for BTC

Bulls could exploit this classic trading pattern

Bitcoin enters a new cycle

Analysts say the multi-month correction is over

BTC price decouples from equities

Legitimate breakout or a short squeeze?

“We’re still in a traders' market”

Bitcoin is “the Amazon of our time”

Bulls are in trouble below $36,700

Will the fourth attempt be the charm?

“A fully intact bull market that is consolidating”

A year of "range bound" trading

The Fed continues to add downside risks

Short-term weakness, long-term strength

"Rate hikes don't kill risk assets"

Is it time to think about a bottom?

Opening a Bitcoin long “looks attractive here”

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