In a relatively quiet market, the pioneer cryptocurrency BTC revisited the key area around $30,000. The correction has continued as almost all of the top 10 coins retreated from their prior high price zones. However, buyers restored the pair’s advance after price downswing as BTC/USD holds support to $33,000. The MA 50 acted as a limit to the price plunge at the $29,902 intraday low during today’s session. The market cap is currently $609.78 billion, with $70.66 billion traded in the past 24 hours. The current spot price is trading at $32,612 down from the all-time high of $41,986 established on Jan. 8, 2021. On January 29, Bitcoin Options expire at a record $4 billion, and multiple indicators suggest the bulls have taken over. As for the Jan. 29 expiration, the bulls remain largely in control due to its much larger adjusted open interest as 45% of the options market’s aggregate open interest expires.
*The MA 50 acted as a limit to the price plunge at the $29,902 intraday low during today’s session
*Buyers restored the pair’s advance after price downswing as BTC/USD holds support to $33,000
*On January 29, Bitcoin Options expire at a record $4 billion, and multiple indicators suggest the bulls have taken over.
Key Levels
Resistance Levels: $41,986, $38,000, $35,000
Support Levels: $30,000, $28,000, $25,772
BTC/USD Daily ChartThe price of BTC/USD rebounded from its unexpected plunge to lows of $29,902 after the MA 50 displayed its strength as significant support. However medium-term action remains within a narrow range and capped by the horizontal resistance at the $34,960 mark that kept the upside attempts limited on Jan 25, 2021. If buying interest continues to pick up, early tough resistance could give way and the price may head back past the $40,000 zone where the ceiling of the upper bound of the channel also lies.
A violation of this zone may push the pair to challenge BTC’s all-time high at $41,986, registered on Jan 8. 2021. On the other side, limited dips and long lower shadows on daily candles of the past few days, signal that bids are still strong, while the action mainly stays above MA 50 keeping medium-term bias with bulls. Though, the odds of re-witnessing the $30,000 zone can’t be ruled out.
BTC/USD 4-Hour ChartIn a shorter time frame, Bitcoin remains under pressure as the first cryptocurrency struggles to keep the price above the 4-hour MA 50 at $32,300. The technical analysis emphasizes that the bulls need to keep the BTC/USD pair above the $33,000 level in order to avoid further large selling. Traders should be aware that the short term trading trend for the BTC/USD pair remains in a range while the price remains below the $34,960 level.
However, the RSI’s 4-hour rally above 50 and MA 50 at $32,300 signifies key support that is expected to sustain prolonged downturns and prompt an upside focus. The BTC/USD pair is bullish only when trading above the $34,960 level, with key resistance at the $35,000 and $38,000 levels. If the BTC/USD pair is trading below the $33,000 level, sellers can test the $30,000 and $28,000 levels.
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