BTC/USD Price Action: A New Year, New Hopes?
As the new year gets underway, Bitcoin (BTC) has continued its rebound, pushing above $95,000 on major exchanges. This marks a significant milestone for the leading cryptocurrency, which had revisited monthly lows at the start of the week.
BTC/USD 1-hour Chart: A Look Back
According to data from Cointelegraph Markets Pro and TradingView, BTC price gains of 1.5% on the day have taken BTC/USD to $95,880 on Bitstamp. This resurgence is a welcome relief for investors, who had been bracing themselves for a potential deeper support retest.
The "Christmas Range" Has Been Swept by Liquidity
Trader Daan Crypto Trades offered his insight into this price action, noting that the "Christmas Range" has now swept both sides for liquidity. This range has acted as resistance on recent tests, with mid-range at $95.8K serving as a key pivot point.
Daan Crypto Trades’ accompanying chart shows increased volume at the range lows, which is a bullish sign for investors. He recommends keeping track of when this range breaks out to either side, as it should give a good idea of where this move goes over the next 1-2 weeks.
Similarities with Last Year’s Price Action
Fellow trader Jelle reiterated the similarities between BTC price action this new year and last, drawing comparisons to a chart fractal that ultimately resolved to the upside. He noted that "the similarities are there, with or without another sweep of the lows."
Jelle subsequently predicted that a trip to between $130,000 and $150,000 would result from this breakout. This view is shared by other market participants, who are showing faith in the strength of the Bitcoin bull market despite the holiday lull.
Entrepreneur and Investor Jason Williams Sees Similar New All-Time Highs
Entrepreneur and investor Jason Williams was among those who called for a similar new all-time high for BTC/USD this quarter. He told X followers on December 30 that "BTC has re-entered the accumulation zone," adding that "in my view, a few weeks of consolidation could set the stage for a massive breakout."
Williams’ chart took a longer-term view, likening the December range to that seen after old all-time highs hit in March last year. As Cointelegraph reported, this rangebound price action ultimately ended up lasting more than seven months.
Bitcoin and Crypto Tipped for New Year Liquidity Push
Equally bullish on the return of "TradFi" traders is Cole Kennelly, founder of crypto volatility index service Volmex. He forecasts a broader bullish comeback for risk assets, which suffered in the second half of December on the back of hawkish tones set by the US Federal Reserve after its latest interest rate cut.
Kennelly wrote that "my gut tells me the market goes full risk on and a lot of money piles into crypto, now that end-of-year logistics/rebalancing/etc is over." He predicts this to be a big next two days for investors.
Remember: Every Investment Decision Involves Risk
This article does not contain investment advice or recommendations. As with any investment and trading move, there are risks involved, and readers should conduct their own research when making a decision.
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