As the global crypto market sees light trading amid the holiday season, Bitcoin looks very much comfortable at the $16,500 level. The popular cryptocurrency has been hovering between $16,400 and $17,000 since mid-December 2022 when fears about inflation and a sharp recession were high.
At the time of writing this article, Bitcoin was trading at $16,696, up by 0.25% in the last 24 hours as per data from CoinMarketCap. Ethereum, the second most popular cryptocurrency, gained 1.16%. It was holding at $1,215. Solana is the biggest gainer among the altcoins, it’s up by 12.62%. Litecoin gained 7.30%, XRP 5%, Polygon 3.60%, Avalanche 3%, and Dogecoin 2.34%. The altcoins have recorded significant gains.
Coming back to Bitcoin, analysts say $17,163 will be a necessary zone to conquer and flip as support. The uptrend which is underway would be a breach of the 21-day simple moving average (SMA) at $16,870. Last month, the much-favored cryptocurrency saw rejection on two occasions at this mark. Bitcoin’s current tight consolidation indicates indecision among the bulls and the bears. Data suggests that the next trending move is likely to start after the price escapes the range. But if the price drops below $16,256, the selling could accelerate and BTC may retest the crucial support at $15,476. However, if it manages to make a run for $17,000, Bitcoin could grace the overhead resistance at $18,388.
Craig Erlam, a senior analyst at Oanda, believes 2023 would be better than 2022. The crypto community is hoping to put the FTX scandal behind them and focus on innovation and crypto adoption.