Key Points
- Bitcoin recorded 14 hourly green candles on Friday, the longest streak since 2017.
- Despite recent bearish trends, increased buying pressure suggests a possible rebound.
Cryptocurrency leader Bitcoin showcased a significant pattern on Friday, with 14 consecutive hourly green candles. This is the longest such streak since 2017. The trend has been attributed to whales purchasing during the current dip, indicating a surge in buying pressure.
This development comes as the crypto industry awaits the inauguration of a pro-crypto administration, with market participants keenly observing Bitcoin’s next move.
Understanding the Price Trajectory
These 14 hours were recorded between 9 PM GMT on January 9 and 11 AM GMT on January 10. This price trajectory has puzzled traders on social media platform X (formerly Twitter) as Bitcoin had recently turned bearish, dropping to a low of $91,771 before rebounding to a daily high of $95,770.
Vetle Lunde, a senior analyst at K33 Research, discussed this unusual price action of Bitcoin in an X post. He confirmed that this is the longest streak of green hourly candles since January 1, 2017, when 11 candles were made. This sparked speculation within the crypto community about the possibility of an institutional buyer opening a new position for Bitcoin.
Assessing Bitcoin’s Current Market Position
As per CoinMarketCap data, Bitcoin is trading at $95,078 at the time of writing, up 2.52% in the past 24 hours. Despite crashing 3.28% in the past week and 5.28% in the last 30 days, Bitcoin is only down 11.74% from its all-time high of $108,268 achieved over 27 days ago.
The Relative Strength Index (RSI) for Bitcoin’s price trajectory reads a value of 46.73, suggesting that sellers are currently in control. However, the rising gradient of the line indicates that buyers are pushing back and aiming to regain control. A retest of the $100,000 mark appears likely.
The MACD indicator points to a bearish divergence on the daily time frame for Bitcoin, with the signal line (red) rising above the MACD line (blue). The MACD histogram has also turned red, but the lines are very close, indicating that either side could gain an advantage.
Data provided by Coinglass reveals that a substantial $389.50 million was liquidated from the crypto market as Bitcoin unexpectedly broke above the $95,000 price level, turning the broader market bullish. In the past 4 hours, over $128.23 million was liquidated, which includes $82.70 million in Bitcoin shorts.
