Bitcoin Climbs to Near $17,400 as Crypto Market Sees Green Shoots

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(Kitco News) – Crypto proponents welcomed the sight of widespread green on Monday after a long stretch of sideways trading, leaving many to wonder if the market will ever emerge from the winter crypto slump it has been trapped in for some time. several months.

Likewise, the stock market started the day off on the right foot, as the tech sector helped push major indexes higher. But prices reversed course in the afternoon as the loss of momentum led to a negative close for the S&P and Dow Jones, which closed down 0.08% and 0.34%, respectively, while that the Nasdaq managed to hold onto a 0.63% gain.

Data from TradingView shows Bitcoin (BTC) hit a daily high of $17,389 on Monday afternoon before falling back to support near $17,200 where bulls and bears are now clashing for control of the price action.

BTC/USD 4 hour chart. Source: Trading View

According to Kitco’s senior technical analyst Jim Wyckoff, the upside move helped the bulls “catch the technical momentum to the upside,” and they’re “now working on an incipient uptrend in price on the chart.” daily bar”.

That being said, bulls need to stay alert and keep pushing higher, Wyckoff said, as “hard chart resistance sits just above the market now.”

For analysts at Eight Global, the current price action of Bitcoin signals that “there is still plenty of room to go up” since the Fair Value Gap (FVG), which “often acts as a magnet for price” , is between $18,350 and $20,150.

“We can see two very clear areas on the chart, namely the demand area around $16.9-17,000 and the supply area around $17,350-17,550. So these are the areas we will be keeping an eye on for longs and shorts, but as always we will only take position when we have the right confirmations.

BTC/USD 4 hour chart. Source: Trading View

In the event that Bitcoin begins to decline, Eight Global identified the weekly support level of $12,500 “as a level that a large number of investors will be watching,” but suggested that “there is little likely to reach these levels anytime soon”. ”

As to why now is not a good time to jump into recent positive moves, Eight Global founder Michael van de Poppe posted the following tweet outlining the week’s upcoming events, which could lead to a spike in volatility in the crypto market. .

Key events this week;

– Powell speaking on Tuesday. – US CPI on Thursday. – US consumer sentiment on Friday.

Will bring a ton of volatility.

— Michal van de Poppe (@CryptoMichNL) January 9, 2023

Several altcoins gain more than 20%

The altcoin market followed Bitcoin’s advance higher on Monday, with all but a handful of tokens in the top 200 posting positive gains on the day.

Daily performance of the cryptocurrency market. Source: Coin360

Several projects saw gains above twenty percent, including a 38.07% gain for Aptos (APT), a 25.96% gain for Zilliqa, a 24.64% increase for Nervos Network (CKB), and a gain of 24.57% for Gala Games (GALA).

The overall cryptocurrency market capitalization now stands at $850 billion, and Bitcoin’s dominance rate is 39.1%.

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure the accuracy of the information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. This is not a solicitation to trade commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article accept no responsibility for loss and/or damage resulting from the use of this publication.

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