It is unlikely that anyone will be unaware of the January rally in Bitcoin. Crypto enthusiasts and crypto skeptics argue to no avail over where Bitcoin's price will go next. Even those who are familiar with classic investments can be envious of the current boom in cryptoassets. We attempted to summarize the results of different approaches, from the classical technical analysis to a model of profit-making volume transfers. Here's what they did:

The rapid Bitcoin and most other highly capitalized cryptocurrencies’ upsurge since the beginning of January, which continued over the weekend, left few people cool on that. For the first time since December, the number of media publications dedicated to Bitcoin exceeded the scam publications about the collapse of the FTX crypto exchange. Key Question: After Bitcoin (now trading at $20,820) peaked at $21,095 on January 13, where will it move next?

It is obvious that Bitcoin is currently experiencing a bullish momentum after the U.S. consumer price index (CPI) report, which was positively received by investors, backed a sharp rise in the price of cryptocurrencies.

Notably, the current Bitcoin rally is occurring on elevated nerves and higher trading activity (transactions per minute) regardless of intraday price fluctuations. So is the Bitcoin bear market over?

Despite the fact that in general in cryptocurrencies, the market is likely to be in a bearish trend, sentiment is noticeably improving, and positive analytics are gradually drowning out the voices of skeptics. In line with fear and greed (an analogue of the VIX volatility index for crypto), the sentiment of events in the market reached a monthly high.

The price of Bitcoin is currently measured by the level of health above the important level of 21,000 levels, and stabilization against the background of the alignment in the positive half-plane of all metrics is, of course, a very encouraging factor.

The price of Bitcoin has not yet recovered from its pre-FTX level, but on January 13, it exceeded $21,095 for the first time since November 8, 2022. What is particularly surprising is that the FTX bankruptcy soap opera was seen as a trigger for the concerted cryptocurrencies’ resurrection. Back in early January, many analysts seriously predicted BTC to $8,000.

However, despite the fact that technical indicators point to the strength of the current uptrend, some analysts believe that BTC price should remain above $21,000 to confirm the bull market, calling this level a support level. In fact, our chart above shows that the true resistance level now stands at $21,150, a prolonged break of which from the bottom up will serve as a formal confirmation of the rally continuation.

But lightness of trading volumes at the BTC price of around $18,000 shows the weakness of the current activity within the network and the centralized exchange (CEX). Most volume and overall bottom fishing activity appears to be at the $16,000 level, suggesting that this is a more reliable level than the current price range. With declining volume accompanying levels above $21,000, Bitcoin’s rally may not be able to overcome the resistance at the aforementioned $21,150.