Bitcoin 07 Jan 2022 – The King of Cryptos is off to a quiet start to 2023

A breath of fresh air in the king of cryptocurrency? – After painfully recalling the highlights of the 2022 Bitcoin (BTC) bear run, it’s time to look ahead to what could be a busy 2023. And it is clear that the bulls will need to be sent hard to topple the bears. In particular, the hope of a change in the Fed’s monetary policy is diminishing due to the last minutes of the FOMC.

Nevertheless, the price of Bitcoin has a quiet start to 2023 despite this bad news from the Federal Reserve Bank of America. So much so that many investors don’t know which foot to dance on. Even worse, the king of cryptocurrencies hasn’t really reacted to the recent decline in the dollar and bond yields over the past few months. But in the meantime, there is FTX work.

We will examine the latest technical analysis of BTC in the perspective of moving lines, in the context of a market that forces us to navigate on the visible.

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Bitcoin in weekly units – Prices still below Tenkan

While Bitcoin is poised to end the first week of 2023 slightly higher, courses always remain under Tenkan. With a sense of helplessness that they haven’t bounced far enough beyond the $16,000 support.

First of all, BTC Price and Chikou Span Perpetuate Respective Status Quo Below Kumo (Ichimoku cloud).

But by not breaking $16,000 all at once, they have the merit of limiting the breakout for a few weeks. Second, the intersection of the descending line of the bear run after the correction due to recent movements does not show a strong will of the bulls to challenge the bears. And recently, the price of Bitcoin has not stayed above the Tenkan for a long time since mid-April 2022.

If the king of cryptocurrency finally breaks out of $16,000, the financial media will be eager for an eventual return to $20,000. But graphically speaking, The fact that the 2017 ATH is between Tenkan and Kijunwhich has hitherto developed horizontally would form triple resistance that could stop the bulls. So they have a tough task ahead of them to neutralize bitcoin’s bear run since the last ATH in November 2021.

Bitcoin in daily units – prices close to Kumo

In daily units, there is dead calm between the $16,000 support and the upper limit of the Kumo, the Senkou Span B (SSB). So that The Bitcoin price is in flux tidied up good tight. At the same time, bravely managed to cross Tenkathen Senkou Span A (SSA) to approach the lower boundary of Kumo.

Bitcoin Price Analysis in Daily Units - January 07, 2023

If the king of cryptocurrency returns to the Ichimoku cloud and gets rid of Kijun, we will protect him. A chance of a bounce towards $20,000 will be supported by a Kumo breakout itself. This will coincide with the Chikou Span, which can do the same with the price of BTC. But a breath of fresh air beyond the 2017 ATH would be the ideal scenario to really relax the bulls. The goal is for prices to settle in daily units above the Kumo for a while. That would potentially force the bears to take some of their gains.

Conversely, if Bitcoin prices fall below the Tenkan, the third wave of the bearish correction may definitely resurface. Provided the $16,000 is no longer holding water. In this case, an additional 25% negative potential will cause the bulls to retreat.

In summary, Bitcoin, which remains frozen just above the $16,000 support but struggles to extricate itself from the nearest resistances, does not indicate a structural trend change. As long as we don’t witness a rose Prices in the direction of the Kumo in weekly units will not provide a basis for a sustained rally. Suffice it to say, breaking $20,000 won’t be the end in itself.

To make matters worse, continued Fed monetary tightening is unlikely to do the crypto king’s job. But the inclusion of this disadvantageous factor in the prices could not discredit him.

Investors should be wary of the so-called lull in cryptocurrencies over the past few weeks. In this sense, in a market context where we are not immune to the black swan, an extremely moderate allocation to this asset class remains preferable, i.e. it is an unpredictable event where no one knows how to estimate the impact at time T.

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