Today’s Chart of the Day was shared by Steve Strazza (@sstrazza). Bitcoin is up more than 16% this week, putting it on track for its best week in nearly two years. More importantly, it reclaimed the prior cycle highs, around $19k today. This is beginning to look like a failed breakdown for Bitcoin. As we know, failed breakdowns often lead to sharp moves higher. The 2022 decline did a lot to wash out the frothy sentiment that had developed in this market. After a >75% drawdown and all the FTX drama, one could argue that Bitcoin sentiment has never been this bearish. As Steve points out, the conditions are ripe for a rebound to $30k in the coming weeks.
Chart of the Day - Friday, January 13th, 2023
January 13, 2023
