<p>Technical analysis of Bitcoin evaluates the crypto king by assessing previous prices and volume,. Technical analysts don’t analyze a security’s inherent worth, but instead utilize charts and other tools to uncover trends.</p><p>Technical analysis also uses patterns to predict future price changes. These patterns may be bullish, bearish, or neutral, indicating a price increase, decrease, or consolidation. <a target=“_blank“ href=“https://www.forexlive.com/Education/the-head-and-shoulders-pattern-20221209/“>Head-and-shoulders pattern</a>, <a target=“_blank“ href=“https://www.forexlive.com/Education/how-to-trade-by-triangle-strategy-20220120/“>triangles</a>, flags and pennants are <a target=“_blank“ href=“https://www.forexlive.com/Education/chart-patterns-guide-20220125/“>typical chart patterns</a>.</p><p>Many times, in technical analysis we’ve also got ‚key levels‘, or key price levels: Important price level is a chart point where the price has found support or resistance and/or it is expected, in a probability of more than 50% (and hardly more than 85%), that these price points will expedite new and inrcreased market participation. On the mechanical under the hood, there are buy and sell orders that are typically waiting above and below key levels. So, these levels may be used to determine entry and exit locations for trading.</p><p>In the follow technical analysis vodthese procedures to analyze Bitcoin technically, according to key levels.</p><ul><li>A daily candle closing below $15500 would start a new chapter for the bears (more decline for BTCUSD) but in the meantime…</li><li>The decentralized digital currency seems to be at an interesting spot for early speculative traders or buyers that can be well paid later in terms of the high reward vs. risk ratio. </li><li>The video shows trade ideas with 2.6 and over 6 reward vs. risk ratios for new bulls. </li><li>Bitcoin above $18255 would mark another „confirmation“ for the bull case.</li></ul><p>Last but not least, after a terrible 2022 for Bitcoin, there are still strong market influencers that may think that BTC is done with the dip and may be interested to start a new year with a new increased price sentiment. While this is not technical analysis, it is also something to keep an eye out for.</p><p>Trade BTCUSD at your own risk and do visit <a target=“_blank“ href=“www.forexlive.com“>ForexLive.com</a> for additional perspectives.</p>

This article was written by Itai Levitan at www.forexlive.com.

<p class=“MsoNormal“>Bitcoin has
added 1.4% in the last 24 hours, reaching the 16.7K level. It is a new attempt
to test the 50-day moving average on a general lull and an effort by the bulls
to paint a more optimistic technical picture with less strength while liquidity
remains depressed.</p><p class=“MsoNormal“>Bitcoin Technical
Analysis</p><p class=“MsoNormal“>This tactic
is already successful, as the total capitalisation exceeds 800 billion (+1.6%
in 24 hours).</p><p class=“MsoNormal“>The current
dynamic looks like an attempt to draw a line under a bearish 2022. We also note
that the December lows were higher than the November lows. But to argue for a
reversal, it is more prudent to wait for a renewal of the local highs rather
than relying only on the waning declines.</p><p class=“MsoNormal“>Closing the
day above the 50-day average (around 16750) might give new momentum to the
upside, and consolidation above 17K might be notable news in the quiet
information flow and serve as a decoy for the bulls.</p><p class=“MsoNormal“>At the same
time, we recall that since July 2022, overcoming the 50-day average served as a
trigger for selling on impressive volumes, and bitcoin soon renewed lows.</p><p class=“MsoNormal“>This article was written <a target=“_blank“ href=“https://www.fxpro.com/“ target=“_blank“ rel=“follow“>by FxPro</a>’s Senior Market Analyst Alex
Kuptsikevich.</p>

This article was written by FxPro FXPro at www.forexlive.com.