Bitcoin Price Analysis Jan 2: BTC Signaling Bullish Continuation Above $3,900

Bitcoin Price Analysis

Bitcoin Price Analysis Jan 2: BTC Signaling Bullish Continuation Above $3,900

Bitcoin price is showing positive signs above the $3,700 resistance against the US Dollar. BTC/USD may continue to rise above the $3,880 and $3,900 resistance levels.

Important Points:

  • Bitcoin price gained traction and moved above the $3,700 resistance level.
  • BTC breached a crucial bearish trend line with resistance at $3,710 on the 2-hours chart.
  • The price is now placed in a positive zone and it may accelerate above the $3,880 resistance.

Bitcoin Price Analysis

Recently, there was a downside correction from the $3,906 swing high in bitcoin price against the US Dollar. BTC/USD declined below $3,700 and $3,680 before buyers emerged near the $3,630 level.

The 2-hours chart indicates that the price bottomed near the $3,632 level and later started a fresh upward move. The price broke the $3,700 resistance and the 100 simple moving average (2-hours) to jump into a positive zone.

Bitcoin Price Analysis
Chart Source by TradingView, Binance

Besides, there was a break above the 50% Fib retracement level of the recent decline from the $3,906 high to $3,632 low. More importantly, the price breached a crucial bearish trend line with resistance at $3,710 on the same chart.

At the moment, the price is consolidating near the $3,800 level and the 61.8% Fib retracement level of the recent decline from the $3,906 high to $3,632 low.

Should there be an upside break, the price may even clear the $3,880 resistance level. In the mentioned case, the price may climb towards the $3,940 and $4,000 resistance levels.

On the downside, the $3,710 level is a solid support along with the 100 SMA. If there is a downside break below the 100 SMA, the price may decline back towards the $3,630 level where buyers may reappear. If there is a break below the $3,630 support, the price may decline towards the $3,500 support.

Therefore, the next move in bitcoin price could be either above the $3,880 resistance or below the $3,630 support. The current price action is positive, but BTC buyers need to gain traction above the $3,850 and $3,880 barriers to kick-start a solid upward move.

Summary
Bitcoin Price Analysis Jan 2: BTC Signaling Bullish Continuation Above $3,900
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Bitcoin Price Analysis Jan 2: BTC Signaling Bullish Continuation Above $3,900
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Bitcoin price is showing positive signs above the $3,700 resistance against the US Dollar. BTC/USD may continue to rise above the $3,880 and $3,900 resistance levels.
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Latika Mehrotra 71 Articles

Passionate about technology and science. Pursuing Doctorate in the field of Data Mining, Professor by profession and loves writing interesting articles about Cryptocurrencies, bitcoin, Ethereum, ripple, Forex and commodities. Reach out to her [email protected]

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