Bitcoin Technical Analysis: Will Chinese New Year Shake BTC’s Stability?

in #teammalaysia11 days ago

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Technical Analysis of Bitcoin (BTC/USDT)

  1. Current Price & Trend: Bitcoin is trading at $102,750.21, down by 1.81% in the past 24 hours. The price is consolidating after failing to sustain above the recent resistance of $105,500.

  2. Moving Averages:

    • EMA(7): The 7-day EMA at $103,309 is acting as immediate resistance.
    • EMA(25): The 25-day EMA at $100,818 is currently providing support.
    • EMA(99): The long-term EMA(99) at $91,688 suggests the broader trend remains bullish, though recent momentum is weakening.
  3. Volume: A declining trading volume indicates a loss of buying interest at current levels. Volume spikes occurred during the recent upward move but have tapered off.

  4. RSI (6): The RSI is at 49.92, near neutral territory, indicating neither overbought nor oversold conditions. This signals indecision among traders.

  5. Support and Resistance Levels:

    • Support: $100,818 (EMA 25) and $94,937.
    • Resistance: $105,500 and $110,604.

Chinese New Year Effect on Bitcoin Prices

Historically, the Chinese New Year often causes short-term market volatility. Many investors in Asian markets liquidate holdings to prepare for the festive season, leading to price dips. However, demand may rebound post-holiday as liquidity returns to the market.

Conclusion

Bitcoin is consolidating within a range, with critical support at $100,818 and resistance at $105,500. Short-term caution is advised, as decreased volume and the upcoming Chinese New Year may bring additional volatility.

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