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Bitcoin price looks set to enjoy a bullish reversal in January next year, as it has maintained a hot price action to close this year. This good looking flagship crypto comes as a crypto analyst Tony Severino revealed a possible Doji formation, which suggested that BTC could enjoy this rally in the new year.
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A Doji formation could lead to a New Year’s Bitcoin Price Rally
In an X post, Severino suggested that the Doji formation could lead to a Bitcoin price rally in the first two months of the new year. The analyst mentioned that he suspects that BTC will end December with the Doji and January will show a strong continuity of the crypto-flagship. His accompanying chart showed that this strong trend could continue into February.
A crypto analyst explained that the Doji represents a pause in the market due to indecision from buyers and sellers. He added that the following candlestick shows market participants the decision the market has made on a strong continuation or reversal. In this case, Severino expects that the next candlestick will show a strong continuity at the price of Bitcoin.
Severino noted that the same Doji in the same sub-waves each caused another two months of observation before a high place it had entered the price of Bitcoin. Therefore, crypto can enjoy two months between January and February 2025 if history repeats itself. From a critical perspective, the inauguration of Donald Trump is one of the factors that could trigger this strong trend.
The price of BTC rose above $100,000 after Trump’s victory in the US presidential election in November. As such, the flagship crypto can continue this rally as Trump becomes the first pro-crypto US president. In addition, the US president-elect can create a Strategic Bitcoin Reserve when he takes the position, which can give more boost to BTC.
BTC Needs to Hold Above $92,730
In X post, crypto analyst Ali Martinez It is noted that the price of Bitcoin needs to avoid dipping below $92,730, as if that level breaks, it will be in free fall. The accompanying chart of the analyst indicated that Bitcoin could drop to the $70,000 range if it breaks this $92,730 price level.
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However, in another X post, Martinez suggested that Bitcoin’s price drop may not actually be that bad. This happened as he revealed that 20% to 30% price adjustment the most important thing that can happen to Bitcoin. At the time, Martinez said his bearish Bitcoin outlook is not limited to a close above $97,300 and a daily close above $100,000.
At the time of writing, the price of Bitcoin is trading around $94,400, down about 2% in the last 24 hours, according to data from CoinMarketCap.
Featured image from Reuters, chart from TradingView
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