BTC Technical Analysis on 3rd January 2025

It is 3rd day into 2025 and BTC suddenly decided to pump.
Let's see what the chart say.

Technical Analysis:

1. Trend Overview:

   • Bitcoin (BTC) is showing bullish momentum on the 4-hour chart with the price at $96,992.64 (+2.21%).
   • A recent upward move has taken the price near its 24-hour high of $97,839.50.

2. Moving Averages (MA & EMA):

   • EMA(7) at $96,245.72 and EMA(25) at $95,096.19 are bullishly aligned, suggesting a short-term upward trend.
   • EMA(99) at $96,247.86 acts as a key support zone.
   • MA(5) and MA(10) on the volume indicator show consistent bullish activity, but with a slight decrease in recent bars.

3. Volume:

   • High volume spikes suggest increased trading activity, supporting the upward movement. However, the declining volume may signal caution as momentum could weaken.

4. RSI:

   • The Relative Strength Index (RSI) stands at 72.21, indicating overbought conditions. This suggests a potential for a pullback or consolidation.

5. Candlestick Pattern:

   • The recent rejection at $97,839.50 forms a wick, indicating selling pressure near resistance levels.

6. Support and Resistance Levels:

   • Key support: $95,841.63 (near EMA lines).
   • Key resistance: $97,839.50 (24-hour high).

Conclusion:
BTC shows strong bullish momentum but faces resistance near $97,839.50. Overbought RSI suggests a short-term correction may follow before further upward movement. Monitor support near $95,841.63.