Bitcoin (BTC): technical and fundamental analysis.
2025-02-07
Category: None

📈  Technical analysis BTC/USDT 

 The price of Bitcoin dropped sharply following Donald Trump’s announcement of tariffs on imports from certain countries. The decline was halted by a major support block at the 91,000 level. Currently, BTC is holding below the 200 EMA line and is positioned at the point of control of the value area. If buyers fail to establish a new support level in the 95,000–97,000 zone, we expect further downside and a retest of the 90,000 level. Should Bitcoin consolidate below this level, a full correction to the 0.61 and 0.78 Fibonacci levels is likely. These levels coincide with the 4H and 1D Imbalance zones, where significant gaps in horizontal trading volumes need to be filled through consolidations.
For Bitcoin to resume its upward trend, it must reclaim the 200 EMA dynamic resistance and hold above the psychological level of 100,000. In this case, we would expect further growth, with a retest of the 108,000–110,000 resistance block and a potential new all-time high.

  


📉  Bitcoin market global analysis. 

On the daily logarithmic chart, a reversal pattern—Double Top—is forming. However, it will only be confirmed upon breaking its support line at the 90,000 level and consolidating below it. A divergence on the RSI indicator also suggests a high probability of a continued correction. During Bitcoin’s rapid growth in November 2024, an Imbalance 1D zone formed in the 77,000–85,000 range, featuring significant gaps at horizontal trading volume levels that need to be filled through consolidations.

Once the correction is complete, Bitcoin’s next price target could be the global trendline, drawn based on the two peaks of the previous growth cycle. This trendline may be tested around the 120,000 level, as confirmed by the analysis of large order blocks in exchange order books.

  


💠  Analysis of liquidity zones and levels 

The Fear and Greed Index is in the neutral zone at 49.
The total cryptocurrency market capitalization has fallen to $3.08 billion, while the Bitcoin Dominance Index has risen to 61.82.
According to the analysis of the accumulation of large order blocks in the exchange order books, the supply and demand zones are located at the following levels:
🟢 Demand zone: 85,000 - 90,000
🔴 Supply zone: 100,000 - 120,000

Levels for long positions:
90,000 - 92,000 - large support block
87,000 - 88,000 - large support block
80,000 - large support block
77,000 - large support block

Levels for short positions:
105,000 - large resistance block
110,000 - largest resistance block
120,000 - ascending resistance trend line

  


📊  Fundamental analysis 

After Donald Trump announced tariffs on imports from Mexico, Canada, and China, the crypto market experienced a sharp crash. Bitcoin's (BTC) price dropped to levels near $90,000, leading to the largest liquidations in history, totaling $2.2 billion. On the same day, news emerged that the leaders of Canada and Mexico had reached an agreement with the U.S. president to delay the implementation of the tariffs. This contributed to a partial recovery in cryptocurrencies, but the market has yet to stabilize. The number of large investors (holding more than 1,000 BTC) has not fully recovered, and large-scale accumulation has not resumed completely. It may take up to two months for the market to recover.

However, Trump’s recent executive order to establish a national Bitcoin reserve could alter Bitcoin’s market cycle. The current Bitcoin cycle is more stable than previous ones, with realized losses remaining relatively small during pullbacks. This can be attributed to a more informed investor base and the growing role of institutional players in BTC. Net capital inflows into BTC have already exceeded $850 billion, while the average daily trading volume is around $9 billion. The market capitalization of the leading cryptocurrency is currently estimated at $2 trillion, making it the seventh-largest asset in the world—surpassing silver and companies like Saudi Aramco and Meta.

Bitcoin’s future growth depends on the Federal Reserve’s monetary policy and U.S. regulatory actions. If the government adopts a crypto-friendly stance, the price could rise. Otherwise, resistance from regulators could trigger a correction.


🌐 Upcoming Events in the Global Economy

We expect increased volatility in both stock and cryptocurrency markets on the following dates:

➤ 07.02, 16:30 - U.S. Unemployment Rate (Jan)

➤ 12.02, 16:30 - U.S. Core Consumer Price Index (CPI).

➤ 27.02, 16:30 - U.S. GDP (QoQ) (Q4).

➤ 19.03, 22:00 - New Fed Interest Rate Decision.


🚀  Statistics of signals from our AI trading indicator: 

📈 In January 2025, the Bitcoin price again updated its historical maximum, then a correction began. Our trading indicator gave 6 signals with the most profitable entry points and minimal risk. Thanks to the latest updates, all signals became profitable, and the built-in protection against flat prevented losses from manipulative market movements.
- Total price movement for all signals for the month: + 38.21%
- Maximum price movement for one signal: + 13.31%
- Average price movement for signals: + 6.36%

  


In addition, I would like to share the forecast of the latest Bitcoin price action by our AI, which not only indicates the direction, but also builds the trajectory of further price movement:

  
