Bitcoin clings to $23.5K as trader says BTC ‘identical’ to 2020 breakout


Bitcoin (BTC) circled $23,500 on Feb. 4 as bulls refused to surrender assist in out-of-hours buying and selling.

BTC/USD 1-hour candle chart (Bitstamp). Supply: TradingView

Bitcoin worth conjures 2020 recollections

Information from Cointelegraph Markets Pro and TradingView confirmed BTC/USD holding a slender vary in place for the reason that Feb. 3 Wall Avenue open.

Macroeconomic knowledge releases from the USA provided modest volatility however no total development change as merchants bided their time heading into the weekend.

Opinions on the longer-term outlook had been combined, nevertheless, with some sustaining that there was little motive to belief that Bitcoin’s rally would proceed.

“Seeing $50,000 calls already on Bitcoin and we’ve but to finish the next excessive and better low market construction change,” fashionable dealer Crypto Tony summarized in a part of a tweet on the day.

Extra optimistic was fellow dealer Credible Crypto, who doubled down on a idea that in contrast present BTC worth motion to that of late 2020, simply after Bitcoin had handed its previous 2017 all-time excessive.

“Value motion has developed fantastically off our lows, mimicking the underside formation that preceded our final impulse from 10k-60k+. Present consolidation (circled in inexperienced) additionally appears to be like similar to PA from that impulse,” he wrote in an replace to a corresponding Twitter thread.

“BTC could proceed to pump whereas most look ahead to a pullback…”

BTC/USD comparative charts. Supply: Credible Crypto/ Twitter

Others had been involved a few turnaround within the fortunes of the U.S. greenback, which may influence danger belongings throughout the board if it had been to proceed.

The U.S. Greenback Index (DXY) was “ringing up alarm bells” for fashionable dealer Bluntz, who revealed a segue into stablecoins.

“After such an extended and deep sell-off, do we predict the DXY is already achieved on the upside? I don’t. Lotta shorts to squeeze but,” macro investor David Brady commented concerning the greenback’s decline from twenty-year highs in Q3 2022.

U.S. Greenback Index (DXY) 1-day candle chart. Supply: TradingView

RSI poised for “bullish continuation”

Specializing in month-to-month timeframes, in the meantime, dealer and analyst Rekt Capital eyed a possible cue for Bitcoin to dip earlier than persevering with increased.

Associated: Bitcoin due new ‘big rally’ as RSI copies 2018 bear market recovery

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This got here within the type of its relative power index (RSI), which in January bounced from all-time lows to reclaim a key assist stage.

Whereas acknowledging that traditionally, Bitcoin markets “haven’t actually seen double bottoms” in RSI, he argued that there was nonetheless an opportunity {that a} increased low may come subsequent.

“Now simply reaffirming and protecting these ranges constant and secure — that’s what we actually need to see for bullish continuation, ” he concluded in a YouTube video launched on Feb. 3.

Bitcoin relative power index (RSI) annotated chart (screenshot). Supply: Rekt Capital/ YouTube

A Twitter survey from Rekt Capital likewise delivered a slender consensus {that a} dip ought to come for BTC/USD.

The views, ideas and opinions expressed listed below are the authors’ alone and don’t essentially replicate or characterize the views and opinions of Cointelegraph.