After breaking above a strong support level, the Bitcoin price now seems to be showing significant signs of bullish trend weariness. This move is likely laying the groundwork for a resurgence for BTC bulls following a relatively placid conclusion to the year 2022.
On-Chain Data Turns Bullish
Furthermore, according to data from on-chain aggregator CryptoQuant, the Taker Buy Sell Ratio data on January 3 is giving a signal to buy Bitcoin. This signal was created by the 30-day moving average. A buy signal has been shown by the metric for the fourth time at the time this article was written.
One of the most useful measures for determining whether or not a purchasing cycle is occurring is the taker buy-sell ratio. On the other hand, it is only relevant during a rising market.
This indicator will nearly always and almost flawlessly only provide sell signals when the market is unstable or in a bear market. As a result, it is essential to verify the purchase signals using other short-term on-chain indicators in accordance with one’s trading strategy.
However, this bullish scenario may not be triggered for some time by the king cryptocurrency, but the Federal Open Market Committee’s (FOMC) December readout, due out on January 5th, might provide a headwind.
Bitcoin Predictions 2023
The beginning of a new year ushered in price predictions for Bitcoin and the cryptocurrency market across a variety of social media and big-time media outlets. The question of whether bulls or bears will drive price movement in 2023 is all that is being discussed by industry professionals, right now.
As this article is being written, the price of Bitcoin is now trading at $16,704, having made a marginal gain during today’s trading session. The price of the cryptocurrency continues to display rangebound movements throughout longer periods.
Tim Draper, a BTC bull, is one of many who think the leading cryptocurrency will continue to rise from its present price. Draper predicts that by mid-2023, the price of the benchmark cryptocurrency will have increased by 1,400%, reclaimed lost ground, and risen past $250,000. Bitcoin bulls think that macroeconomic factors will greatly increase Bitcoin adoption.
Standard Chartered is the latest institution to issue a pessimistic prediction, predicting that Bitcoin’s price might drop below $5,000. The bank voiced its concerns back in December, stating that a lack of liquidity is contributing to the failure of more cryptocurrency businesses and exchanges and a subsequent loss of faith among investors. It remains to be seen how Bitcoin’s 2023 will unfold.
Source: https://coinpedia.org/bitcoin/bitcoin-price-2023-bullish-or-bearish-whats-in-store-for-btc-price/