Bitcoin Price Prediction for January 20

Although Bitcoin’s price recently surged toward $109,000, it couldn’t maintain its momentum and quickly fell to a low of $105,472. The trading volume for Bitcoin has increased by 101% over the past 24 hours, reaching $114.6 billion.

Looking at a broader time frame, Bitcoin dropped below $100,000 on January 7 and has generally been on a downward trend since then. It hit a low of about $89,397 on January 13 but has begun to recover from this decline. Over the last 24 hours, its total market capitalization has risen by 2.9% to $2.13 trillion.

Bitcoin’s Large Transaction Volume Declines

Several analysts have observed that when Bitcoin’s price rises, the likelihood of establishing a Bitcoin reserve also increases. It appears that a price increase in Bitcoin makes the setup of a reserve more probable.

This week, Bitcoin’s price increased by 18.4% and saw a gain of 10.4% over the past 30 days. Today, Bitcoin’s price touched a high of $109,588 but didn’t attract enough buyers, leading to an immediate drop toward $105,472.

Over the last 48 hours, the large transaction volume of Bitcoin has been declining. Data from IntoTheBlock shows that the metric dropped from the peak of 912K BTC to a low of 705K BTC. This decline suggests a decreased interest in trading activity among whales.

As whales take less interest in Bitcoin, this might create a correction on the price chart. Additionally, the rising US debt might be a bearish threat for Bitcoin price, which might create a wave of selling activity among holders if BTC struggles to surpass resistance levels.

However, the funding rate of Bitcoin remains positive despite the bearish threat. It is currently at 0.0271%, suggesting that buyers still have the advantage in bouncing back from the current level and breaking through $111K.

Bitcoin Price Prediction: Technical Analysis

Bitcoin price has been on a strong surge as it broke above previous resistance levels and is now attempting to attain a new ATH. However, it is experiencing some selling pressure around the $109K level, creating a significant challenge for buyers. Right now, Bitcoin is priced at $107,811, having risen by 2.7% in the last 24 hours.

The Bitcoin to USDT trading pair is still just under $109,000, which might pose a slight challenge. If it can stay above this level, it would be advantageous for buyers. The price could then rise to $111,000, and potentially even to $115,000.

On the other hand, if the price drops below the EMA20 trend line on the 1-hour chart, sellers might push it back down to $104K. However, RSI suggests there might be a potential rise, as it’s currently at a level (64) that indicates buying interest.

Bitcoin Price Prediction: What to Expect Next?

According to BlockchainReporter, BTC price might continue to struggle around $109K. However, the pressure might soon weaken, resulting in a surge toward $111K.