The post Bitcoin Price Analysis: How Will BTC Price Hit $30K by the End of Q1 2023? appeared first on Coinpedia Fintech News

The year 2022 can be considered one of the most dreadful years in history as eye-catching events led to the massive downfall of the crypto space. As market participants were largely bewildered by the upcoming trend, the crypto markets were highly impacted by many external factors like the US CPI rate, inflation rates, interest rates, etc. Moreover, the recent turmoil within the US banking system benefitted the price of Bitcoin the most.

The BTC price soared magnificently while the other altcoins maintained a low-key trend, indicating the shift of focus of the traders from other altcoins to Bitcoin. The trading volume soared high from just $15 billion in January to as high as $55 billion in March. Hence indicating the price to maintain a firm upswing as the bullish momentum appears to have coiled up. 

Bitcoin Technical Overview

Bitcoin Price Analysis-Short Term

• The Bitcoin price in the short-term appears to be quite bullish as it is trading along the ascending trend line

• The price is currently trading along the trend line from the early trading hours, indicating a tough accumulation which could be followed by a bullish breakout

• However, the volatility has dropped heavily as the volume has slashed from the last trading day which may lower the pace of the rally

• Therefore, the price appears to be in a decisive phase where-in a breakout may lead the price toward the resistance zone above $28,500, while a breakdown may drag the price close to $26,000

Bitcoin Price Analysis- Long Term

• Bitcoin price in the long-term is bullish, including a possibility to undertake a bullish breakout soon. 

• The price is consolidating around the gained levels and is believed to test the interim support at $26,975 before igniting a fresh bullish wave

• Here, if the price fails to rebound, then it may drop hard to reach the lower support zone between $24,300 to $24,800

• Else, a successful rebound may elevate the price towards the trend line trading very close to $30,000

Bitcoin Price Technical Analysis

Bitcoin On-Chain Overview

Bitcoin Hash Rate

The hash rate is nothing but the computational power required to validate the transaction and add the block to the blockchain. It is measured in terms of transactions per second or TH/s.The increase in the hash rate indicates the participation of more miners which in turn raises the difficulty and slashes the possibility of a 51% attack as the nodes remain distributed maintaining the core feature of blockchain to remain decentralized. Presently, the hash rate has soared high to mark a new ATH which is around 399 TH/s. 

Bitcoin Active Addresses

The demand for the platform is determined by the user activity over the platform. Hence, the user activity over the platform is measured by the number of active addresses interacting with the platform in a day. The daily active address count considers all the addresses regardless of whether it is a buy address or a selling address or a swap address. The rise in the active address increases the volatility which further impacts the price positively. 

Bitcoin Supply on the Exchanges

The supply on the exchanges indicates the amount of BTC present in the reserve of all the exchanges collectively. The rise in the supply is usually considered a bearish signal as the traders transfer their holdings from their wallets onto the exchanges with the intention to either sell them or swap them with another token. With an increase in the liquidity of the token over the platform, the demand ceases and hence this is when the price may drop with the coiling selling volume. 

Concluding Thought

Bitcoin price in the short-term and long-term appears to be bullish and poised to hit the interim resistance beyond $30,000 any time from now. However, the rise in the supply of the exchanges could be a matter of concern while the raised activity is believed to keep up the bullish momentum. Therefore, the Bitcoin (BTC) price is set to begin a fresh bullish wave very soon that may rise the price beyond $32,000 in first half of 2023.