The cryptocurrency market experienced minimal volatility over the weekend due to the absence of major events. Here's an analysis of the market situation for Bitcoin (BTC), Ethereum (ETH), and Pax Gold (PAXG) as of Monday, January 29.
Bitcoin (BTC)
Our previous forecast for Bitcoin proved quite accurate. Following a test of the support zone at $38,600–$39,500, the price rebounded, hitting a new local high of $42,840.
Despite this recovery, Bitcoin's future trajectory remains uncertain. If buyers can break through the resistance at $42,690, BTC could aim for the next selling range between $44,000 and $45,120, potentially testing the $46,160 level. Such a move would signify an end to the current correction phase.
In case of a decline, the coin might revisit the support zones at $40,370–$41,400 and $38,600–$39,500, possibly setting new lows.
BTC chart on the H3 timeframe
Ethereum (ETH)
ETH managed to bounce back from the buyer zone of $2,160–$2,208, but its ascent appears somewhat tentative. The coin is now hovering near the resistance area of $2,300–$2,352, a crucial barrier to its continued upward movement.
Should buyers surpass this zone, the next targets would be $2,415 and $2,470.
A continuation of the correction could see ETH retesting the support zone of $2,160–$2,208 and potentially setting a new local low below the buyer level of $2,096.
ETH chart on the H3 timeframe
Pax Gold (PAXG)
The gold chart has remained relatively stable for over a month, with the price trapped between the support zone of $1,853–$1,982 and resistance at $2,043–$2,071. Currently, neither buyers nor sellers are making decisive moves.
According to our previous PAXG analysis, a continued rise and setting new annual highs is the expected scenario. For buyers, the immediate target is around $2,100, reaching which would confirm a bullish trend.
In case of a correction, PAXG could fall to the buyer's zone of $1,900–$1,933 and down to the support level of $1,868. Given PAXG's positive trend, such a dip should be seen as an opportunity to accumulate more of the asset for an investment portfolio.
PAXG chart on the D1 timeframe
The economic sector this week is highlighted by several key events:
- US Consumer Confidence Index (Tuesday, January 30);
- Crude oil inventories and the Fed's decision on interest rates (Wednesday, January 31);
- Initial jobless claims, Manufacturing PMI (Thursday, February 1);
- US unemployment rate for January 2024 (Friday, February 2).
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Disclaimer
Please note that the analysis provided above should not be considered a trading recommendation. Before opening any deals, we strongly advise conducting your own research and analysis.
Abbreviations
TF (Timeframe) — a chronological period equal to the time it takes to form one Japanese candle on the chart.
Horizontal channel (flat, sideways, range) — the price movement between support and resistance levels, without going beyond the given range.
К — simplified designation of one thousand dollars of the asset price (for example, 23.4K – $23,400).
Gray range on the chart — a support zone.
Red range on the chart — a resistance zone.
Correlation — the tendency of prices of different cryptocurrencies to move in sync, often influenced by the dominance of one of the assets.
Initial materials
This analysis was informed by the following educational materials and articles from GNcrypto:
