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BTC/USD restrained below $97,000

  • BTC/USD starts the year on a positive note
  • Short-term SMAs block the bulls around $97,000

BTCUSD started the new year on the right foot, briefly hitting $97,744 after bouncing from the important base of $91,700. However, it struggled to break above key resistance levels, with the 20- and 50-day simple moving averages (SMAs) capping the rally around $97,000. The RSI is also struggling to stay above neutral, signaling caution.  

Traders are waiting for a clear break above $97,000-$99,540 to target the broken support trendline at $102,500. A break above the latter could clear the way toward the all-time high of $108,379 or even up to $110,460. Additional increases from there could bring the $114,000 area on the radar.

Alternatively, a pullback below $91,700 could send the price toward $85,000 unless the $88,100 constraining zone comes to the rescue. If the 100-day SMA proves fragile too, the focus will turn to the $80,000 psychological level.  

In short, BTCUSD is at a make-or-break point: above $97,000 could restart the rally, while failure to break it might shift focus back to the $91,700 base.

Author

Christina Parthenidou

Christina joined Trading Point in May 2017. She holds a master degree in Economics and Business from the Erasmus University Rotterdam with a specialization in International economics.

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