Thursday proved to be an all-around green day for the entire cryptocurrency industry and it was even better for Bitcoin (BTC).
While most of the major cryptocurrencies moved higher, Bitcoin managed to retake $23,000 twice in a single week. It is quite an achievement for the bulls who have managed to prove their resilience to the bears so far.
The trend remains stable for Bitcoin as it did not show much of an upward movement after crossing the $23k barrier. It has become mainly stagnant after hitting a particular level and it is not hitting any higher levels.
Then there were some other cryptocurrencies that underwent major developments. As a result, their trading prices witnessed significant rallies. The rallies grew so strong that their prices recorded double-digit surges.
All of the aforementioned reasons are giving a clear signal that the crypto winter has finally started to fade away. The situation is now becoming favorable for the bulls and they can start trusting their bets.
Stocks Show Growth
One of the factors behind the growth of the crypto market is the stock market. The stock market sector is what tends to define the behavior of crypto investors somehow.
Throughout the year 2022, the macroeconomic situation remained unfavorable for the stock markets and so was the case for cryptocurrencies.
Over time, it has become clearer that the growth of every market is proportional to the global economy, mainly the US economy.
With the US GDP data coming beyond expectation levels, the stocks have started to perform really well. The annual growth rate of the United States has also surged in the fourth quarter of 2022 by 2.9%.
As the stock trading sessions came to a close, the NASDAQ, Down Jones, and the S&P indexes were up 1.76%, 0.61%, and 1.10%.
Bitcoin Trades in a Narrow Range
A look at the price chart for Bitcoin from TradingView shows that the asset is currently hovering within narrow ranges. These ranges are from $22,870 to $23,270 but the bulls are proving to be in control.
Although it seems that neither of the sides has an upper hand, it is the bulls that may be able to drive the trend in their favor.
Insights from TechnicalRoundup
The TechnicalRoundup analysts have tried providing as much information and insights about the current trend of Bitcoin as possible.
The analysts have asked the investors to pay attention to three price zones. For them, the first zone is the support zone, which lies between $19,400 and $20,000.
This is a zone that will come into play as the trading price of Bitcoin starts to experience a decline. The bulls will pose a great challenge to the bears as they come closer and travel within the particular zone.
If BTC enters the first zone, it would become somewhat of a neutral to a bearish trend. If the bulls fail to rebound the price of BTC, then it will turn into an all-out bearish trend.
Above this level is the neutral to bullish zone and that is exactly where BTC lies at the moment. According to the analysts, the second level is actually at $23,300, which is considered a strong resistance mark.
For now, the bulls are struggling to sustain the pressure coming in from the bears at this level. However, if the bulls remain strong and resilient enough, then BTC’s trading price may succeed in crossing the resistance level.
This may help in pushing Bitcoin’s price to higher levels in the upcoming days. The analysts are hoping that the price of the asset may be able to make it up to $34,000.
From there, Bitcoin will have the opportunity to enter the third level, which would begin at $35,000 and would last until $37,000.
If the investors carry on with their buying spree, then the trading price of BTC may make it to the mentioned levels.