Bitcoin broke through the $17,000 mark decisively early this morning (9th), broke through the recent price range, and hit a three-week high.
Prior to this, the United States released key economic data on Friday showing that the job market is still quite strong, and there is still some distance from a recession, which boosted people’s hopes that the economy will have a soft landing and inspired a rebound in global stock markets. Bitcoin briefly rose to 16,900 Above the dollar, it was only above $17,000 after several days of sideways trading.
While many analysts were quick to point out that the general direction would remain bearish, David Duong, head of institutional research at Coinbase, wrote in a note that after Bitcoin successfully breached $17,100, it could enter the next technical level — — $17,800.
According to Sean Farrell, Digital Asset Strategist at FundStrat, on-chain data suggests that there are many ready buyers in the market “interested in buying bitcoin in the $16,000-$17,200 range.”
“This paints an incredible picture of strong buying and a bottom in the making at current market prices,” Sean Farrell wrote in a note.
At press time, Bitcoin is changing hands around $17,202, up 1.36% over the past 24 hours.
Investors this week will be closely watching Thursday’s December consumer price index (CPI) data for speculation on how much the Federal Reserve will raise interest rates in early February. In addition, Fed Chairman Jerome Powell will also speak this week, which may involve future economic policy.