Bitcoin January 31, 2023 – +40% for Bitcoin in the first month of the year

transition – As the end of the month approaches, Bitcoin price (BTC) It trades for about $23,000. The January balance sheet is largely positive for the cryptocurrency, and the new data sheds some light on this month’s rally. February begins with a crucial meeting of the markets.

Bitcoin Price: Resuming Key Levels at Monthly Expiry

Bitcoin price rose to $23,216 on Bitfinex today, January 31, 2023. The cryptocurrency is trading on $23,073 At the time of writing this article. Its price is currently recording a daily gain of 1.03%.

Thus, Bitcoin returns to $23,000, after a strong downward correction yesterday, January 30, 2023, which caused its price to drop to $22,516. The 5-hour chart of the cryptocurrency price shows that the Ichimoku Kumo (cloud) is working as follows SupportStop yesterday’s decline, and support the current rise.

BTC USD over 5 hours
BTC USD over 5 hours

On a daily basis, the price of bitcoin is back right Above Tenkan Sen (black line) after declining to levels much lower than yesterday.

Bitcoin price per day
BTC USD in daily units

On a monthly basis, Bitcoin price should reach a close Above Tenkan Sen (black line) during this period.

Bitcoin price per month
BTC USD in monthly units

Regarding this month’s close, trader Rekt Capital still has it underscore Earlier today, the fact that the cryptocurrency is “fighting” to end the month “was above a resistance level $23,400 “.

Bitcoin could close this month below this level. However, by holding above $23,000 on this monthly expiry date, the Bitcoin price would make gains of approximately 39% in january.

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Western institutions behind this month’s march

In today’s Twitter post, analyst Willie Wu attempts to explain the reasons behind the January rally, which is said to coincide with “the emergence of a new pattern.” Stablecoin flow On cryptocurrency exchanges during business days only.”

Bitcoin price: the institutions behind the rally
By Willie Woo – Source: Twitter

Willie Woo sees it as a signature. Large institutions that buy Based on trading hours, he concludes that these buyers are “Western institutions in the US and Europe.”

However, the Bitcoin Archive Twitter account questioned Willy Woo on the basis of his theory, which is based on the fact that these institutions use stablecoins for their purchases, “while having access to deep liquidity in their national currencies.”

The analyst replies that existing crypto funds “remain in stablecoins.” He noted that the funds are connected to crypto banks such as Silvergate or Signature Bank. the first He suffered a bank runwhile the second reduced its exposure to cryptocurrencies during these bear markets.

Willie Woo concluded that stablecoins were “ The best place to keep US dollars in recent months “.

The beginning of the month is led by the Fed in the Bitcoin price

Bitcoin price will start in February with the Federal Open Market Committee meeting. According to CME FedWatch, the probability that the US Federal Reserve (FED) will raise the federal funds rate by 25 basis points soon, currently stands at 98.9%, As opposed to 1.1% to maintain current rates.

If the Fed confirms this 25 basis point rally, risky assets like Bitcoin or the markets will benefit Did they actually expectin their January purchases, such a decision, which would then have no effect during the announcement?

Logically under-increase – Very unlikely given the previous numbers – it will be unexpected and very positive news. fear scenario For risky assets, the announcements from the Fed are in the direction of raising interest rates above these 25 basis points.

Bitcoin price is recovering from pressure from the previous day. Although January was largely in the green, the bullish continuation was halted by the resistance around $23,400 and $24,000. Will the bulls have a chance to attack these key levels again in February?

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