After experiencing an explosive rally in the first three weeks of 2023, the Bitcoin price shifted sideways below the $23400 barrier. The resulting consolidation phase offered the coin price a short break from the aggressive buying and recuperated the bullish momentum. Today, the prices show a breakout attempt from the $23400 resistance, indicating the buyers are getting for further rally.

Key Points:

• A daily candle closing above the $23400 resistance may surge the prices 5.2% higher to hit $2500
• A bullish crossover between the 20-and-200 EMA encourages the resumption of a bullish recovery.
• The intraday trading volume in Bitcoin is $22.2 Billion, indicating a 13% gain.

Source-Tradingview

The Bitcoin price witnessed a parabola recovery in the first three weeks of 2023. Amid this bull run, the coin price rallied 42% since the January 1st low($16499) and recently hit the $23400 mark.

However, in the 4th week, the Bitcoin price went sideways and showed a power struggle to surpass the $23400 resistance level. Moreover, the high wick rejection on both ends of daily candles indicated uncertainty in the market. 

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The rejection candle also reflected signs of exhausted bullish momentum and created a minor consideration phase between the mentioned resistance and $22500 support. Anyhow, this consolidation was important for Bitcoin price as it stabilized the excessive buying during the recent rally. Moreover, the prices checked their suitability above the newly reclaimed levels.

However, today the Bitcoin price witnessed a significant inflow and jumped 2.25%.

The long green candle pierced the overhead resistance of 23400, suggesting the release of trapped bullish momentum. If the daily candle closes above-breached resistance, it should flip into viable support and bolster a bullish recovery. 

The post-breakout rally will likely surge the Bitcoin price 5.3% higher to hit the $25000 psychological barrier.

On a contrary note, if the daily candle closes below the $22500 resistance again, the consolidation phase will prolong for a few more sessions.

Technical indicator

RSI– The daily- RSI slope wavering high in the bullish territory indicates the buying pressure is still high, and a longer correction is expected in the near future.

EMAs:  the 20-50-and-100-day EMAs rising higher may provide dynamic support during a possible pullback

Bitcoin Price Intraday Levels

• Spot rate: $23522
• Trend: Bullish
• Volatility: High
• Resistance levels- $25000 and $28000
• Support levels- $23400 and $22500