Bitcoin (BTC) chart and analysis

• Bitcoin is crashing, taking the crypto market with it.
• Global markets are turning away from risk.

No sooner had I published an article highlighting Bitcoin’s lack of volatility and sideways price action, when the market fell sharply, with Bitcoin breaking through multi-month support with relative ease. The selling continued today, with BTCUSD hitting a low of $37.7k earlier before falling back to $38.5k. Macroeconomic factors continue to drive Bitcoin at present, with the Federal Reserve looking not only to begin a series of interest rate hikes imminently, but also to reduce the recent monetary largesse that has fueled risky markets ever since. the first quarter of 2020. Market expectations for a hawkish Fed meeting next week are high and that could leave the Fed disappointed, especially if Chairman Powell takes into account the recent selloff in global risk markets.

Markets are also watching nervously for any potential Russian incursion into Ukraine with around 100,000 Soviet troops believed to be near the border. A series of talks between the United States and Russia have so far produced no tangible results, while US President Biden yesterday warned that Russia would pay a “heavy price” if it invaded Ukraine.

The next support area for Bitcoin lies between $37.3k and $37.5k before a very important support area between $29k and $30k comes into play. If this area holds, the market will likely turn up and back higher, otherwise the sellers are likely to dominate the price action and push the pair sharply lower.

Bitcoin Daily Price Chart January 21, 2022

Chart via Pro Realtime

The selloff of Bitcoin has caused major waves in the cryptocurrency space, with all altcoins coming under heavy selling pressure, including recent market favorites. Solana is currently trading around $189 after printing an ATH of $259 in early November….

…while gimbal continues to print a series of lower highs, despite last week’s rally…

…everyday Close to protocol the chart remains positive in the long term, but in the short term there may be further losses, especially if the support zone and the last upper low around $13.13 are broken…

…while Harmony also needs to hold the latest low higher to allow it to push higher for a longer period.

Charts via TradingView

What is your opinion on Bitcoin – bullish or bearish?? You can let us know via the form at the end of this article or you can contact the author via Twitter @nickcawley1.