Bitcoin (BTC) hit $ 44,000 a second time on January 12, as opinions increasingly diverged as to whether the price low is “in”.
BTC / USD 1-hour candle chart (Bitstamp). Source: TradingView
Data from Cointelegraph Markets Pro and TradingView showed the $ 44,000 mark acting as local resistance on Thursday, according to predictions that $ 46,000 could be coming back soon.
Bitcoin remained broadly higher overnight after the previous day’s U.S. inflation data, but this wasn’t the time for some to get overconfident.
“BTC feels slow (local), although inquiries are circulating about some key resistance levels,” Twitter account Material Indicators commented as part of a current update.
“Some bitcoin cops may show up to clear a few levels, but the whole herd has to show up to clear them all.”
The Material Indicators suggested a good “risk mitigation” opportunity, highlighting order book flow, which was the focus of a more serious warning of a possible crash on Wednesday.
In contrast, others believed that a price “squeezing” would ultimately lead to the Uptrend and penalize latecomer short traders.
If one observes that Perp financing becomes increasingly negative as prices rise, it seems that the real wave of liquidations could be pointing upwards https://t.co/ml8h5t0Skg
– Zhu Su (@zhusu) January 12, 2022
The popular trader Crypto Ed, meanwhile, showed optimism about the final disappearance of significantly lower levels.
After uploading a predictive chart snapshot, he argued that should BTC / USD slide higher that day, it would set the stage for higher deep construction as part of a more solid rebound.
Good morning everyone!
Thank you for giving me some time to take a break from twitter, but I’m back to tell you that when I see this, my bottom is in feeling will get stronger #BTC Diagram.
I want to see more confirmations, but if we get Stage 5 today, I’ll be excited! pic.twitter.com/yW07BSdrYC
– Crypto_Ed_NL (@Crypto_Ed_NL) January 13, 2022
How long can relief last?
A quick look at Funding rates Across stock exchanges, there was only a slight change overnight, with neutral to negative values dominating.
Such behavior is in contrast to the last few weeks, in which a falling spot price was met with positive funding.
Bitcoin Funding Rates Chart. Source: Coinglass
At the time of writing, BTC / USD continued to attempt to break the $ 44,000 zone with buyers preventing any drawdown.
