Bitcoin (BTC) has faced a setback, pulling back to $95,000 as bears attempt to gain control. However, inflows of $52.4 million into US spot Bitcoin ETFs on January 7 signal continued investor confidence despite a 5% price drop, according to Farside Investors. This resilience suggests many expect the bull run to resume.
Bitcoin Price Outlook
BTC’s failure to sustain above $100,000 has prompted short-term profit-taking, dragging its price below key moving averages. The relative strength index (RSI) near the midpoint indicates waning bullish momentum. Analysts project a decline to the $90,000 support level, with a critical zone between $85,000 and $90,000 potentially determining a short-term trend reversal. Conversely, a rally above $102,725 could lead to a retest of the all-time high at $108,353.
Ethereum’s Path Forward
Ether (ETH) also faces pressure, slipping below its breakout level of $3,555. The invalidation of its ascending triangle pattern could push ETH to the $3,000-$2,850 support zone. A recovery above the 50-day moving average at $3,576 could revive bullish sentiment, targeting $4,094.
Altcoin Trends
Other leading cryptocurrencies show mixed signals:
- XRP struggles near its resistance line, risking a pullback to $1.90 if the price closes below the triangle pattern.
- BNB faces significant support at $635, with bulls needing to break $745 to regain momentum.
- Solana (SOL) may descend to $175 if bears push the price below the uptrend line, while buyers aim for recovery above $223.
- Dogecoin (DOGE) could consolidate between $0.30 and $0.40 unless it breaches these boundaries.
- Cardano (ADA) risks falling to $0.80 unless it clears $1.18.
- Avalanche (AVAX) could drop to $33.60, with resistance near $45.
- Sui (SUI) battles to hold its 20-day EMA at $4.58.
- Chainlink (LINK) risks a bearish breakdown below $20, targeting $16.
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Market participants remain cautiously optimistic, balancing near-term volatility with long-term bullish projections, especially as macroeconomic liquidity increases could support a resurgence in crypto prices.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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