The last quarter of 2022 turned out to be the most damaging one for the world’s largest cryptocurrency. As the price level was able to maintain sustainability above the crucial support level of $18K, the collapse of the centralized exchange, FTX, resulted in a bloodbath in the overall market conditions. Thereafter, BTC suffered a new 52-week low of approximately $15.5K. Since then, the price level did not climb above the psychological mark of $20K ever again. Due to the downside, the price level of $18K has become a major hurdle for Bitcoin to break above. It did test the resistance mark during December but was unable to break above.
Considering the current momentum, since the start of 2023, Bitcoin is forming a potential rising channel pattern that could retest the resistance present at the 0.382 FIB level. Until then, we can expect the world’s largest digital asset to move in a consolidating nature. Otherwise, a breakout above $18K can be a potential signal for bullish momentum in the near term. The support levels for BTC can be placed around $16K and $15K, whereas, the resistance levels can be placed at $18K and $20K, respectively.
Considering the current momentum, since the start of 2023, Bitcoin is forming a potential rising channel pattern that could retest the resistance present at the 0.382 FIB level. Until then, we can expect the world’s largest digital asset to move in a consolidating nature. Otherwise, a breakout above $18K can be a potential signal for bullish momentum in the near term. The support levels for BTC can be placed around $16K and $15K, whereas, the resistance levels can be placed at $18K and $20K, respectively.