Analysts at Bexplus believe that in the 4-hour K-line chart, Bitcoin(BTC) has already shown a clear break signal. In the price adjustment that began on January 9th, although the short-term closing price of BTC has not seen a new low, more investors have already lost money at this stage.
The 120-day moving average corresponds to $35,625, and the current price of BTC is already below this point. This is the first time the 4-hour K-line has broken after December 12nd, which means that more investors will lose money. At this point, even if BTC has already been higher than December 12nd, 2020 corresponds to $18,000. However, BTC fell below the 120-day moving average, and if it fails to rise above $35,625 in the short term, it will continue to expand its decline. Therefore, short-term BTC rebound demand is strong.
Data on BTC buying and selling shows that the strength of long and short is not much different. The slight increase in buying strength means that BTC bulls have a short-term willingness to pull orders. Although this willingness is not very strong, it deserves further attention from investors.
In terms of mainstream cryptocurrencies, ETH’s short-term shock space has narrowed slightly, and its price flexibility is better, indicating that the main bulls have strong trading capabilities and the market is further developing in a positive direction. The overall market will continue to perform strongly in the context of high trading activity, so we can be optimistic about the rebound potential of BTC.
The technical analysis of cryptocurrencies in real-time should be taken for informational purposes only, and in no case should it be taken as an investment signal. Every investment and trading move involves risk. You should conduct your own research when making a decision.