Bitcoin Price Prediction Jan 23: Is a $91K Drop Coming Soon?

Bitcoin’s (BTC) price closed Wednesday with a black Marubozu candlestick, signaling that the bearish trend is starting to gain momentum. After being rejected at a key resistance zone between $107k and $109k, Bitcoin formed a short-term reversal pattern, suggesting a potential price drop.

Traders are closely watching key signals for clues on what’s next.

Let’s break down what these developments mean for Bitcoin’s price action and where it could head in the coming days.

Bitcoin Price Today

In the four-hour time frame, Bitcoin price has been forming a possible head and shoulders (H&S) pattern, coupled with a falling divergence of the Relative Strength Index (RSI). In case of further short-term bearish sentiment, Bitcoin price will find a solid support range between $101k and $99.5k.

In the daily time frame, a potential macro reversal pattern, characterized by a double top and bearish divergence, has been forming since early December 2024. In this regard, Bitcoin price could drop in the lower border of a horizontal channel around $91k.

• Also Read :
•   XRP & Solana ETFs: Last Chance to Buy XRP & SOL Before the Bull Run?
• ,

Conflicting Market Outlook

Following the glamorous inauguration of pro-crypto US President Donald Trump Donald Trump Donald Trump is an American former president politician, businessman, and media personality, who served as the 45th president of the U.S. between 2017 to 2021. Trump earned a Bachelor of science in economics from the University of Pennsylvania in 1968. Trump won the 2016 presidential election as the Republican Party nominee against Democratic Party nominee Hillary Clinton while losing the popular vote. As president, Trump ordered a travel ban on citizens from several Muslim-majority countries, diverted military funding toward building a wall on the U.S.–Mexico border, and implemented a family separation policy. Trump has remained a prominent figure in the Republican Party and is considered a likely candidate for the 2024 presidential election President the cryptocurrency’s bullish outlook has significantly cooled down, possibly due to the sell-the-news narrative. However, long-term investors like MicroStrategy and BlackRock continue to accumulate Bitcoin, showing strong confidence in its future.

Upcoming Economic Events: Tension in the Air?

With the Bank of Japan set to announce its policy rate tomorrow, traders are closely watching for any hints on how this will influence next week’s Federal Reserve interest rate policy. The unpredictability of the Trump administration, along with higher-than-expected inflation data, has added uncertainty to the market, making it harder to predict the next steps.

By monitoring these key indicators and upcoming economic events, traders are preparing for Bitcoin’s next potential move.

FAQs