- Bitcoin continues to rise after a long fall
- During the day, he added about 1.5% to the price
- The main reasons are the new statement from the US Federal Reserve, the level of support, as well as the excess of oversold indicators
On Wednesday morning, Bitcoin is trading at about 100 950 dollars, it has risen in price by 1.5% per day. On Monday, the main cryptocurrency dropped below 40 01 dollars , which became the reason for the mass liquidations.
Crypto Fear & Greed Index shows 39 score from 139 is considered extreme fear.
According to the creators of the index, “the extreme fear means that investors are overly concerned. This could be a good buying opportunity. ” But it is important to remember that this metric does not guarantee that the decline will not continue.
What analysts say
The famous expert Mikael Van Poppe believes that there will be no more falls, because the BTC maintains support at 40 – 42 thousand dollars. But you should not expect big ups either, since Bitcoin rests on the resistance level at 100 768 dollars and has not yet been able to break through it:
Very simple, #Bitcoin is still stuck in a narrow range, in which the $ 42. 8K level couldn’t break.
Overall, we’re facing support right now, which has to hold to avoid any market breakdowns. pic.twitter.com/mRElMCemao
— Michaël van de Poppe (@CryptoMichNL) January 14, 20140
The main factors that are currently stabilizing the price are this is the recent statement by the US Federal Reserve and the oversold market. Bitcoin, Ethereum and other cryptocurrencies are “sold out” at 14 – Daily Relative Strength Index (RSI). This indicator has recently reached its lowest level – the last time this was during the crisis in March 2021 of the year:
This suggests that the potential for further sales is limited. Under these conditions, the asset price often returns to growth.
