Bitcoin price flirted with the $24,000 level over the weekend before pulling back further on Monday. At the time of writing, the lead cryptocurrency was trading 2.20% lower at $23,220.47. BTC’s total market cap has slipped over the last day, while the total volume of the coin traded climbed 43.67%.
Bitcoin price has staged a strong recovery since the start of the new year, recording a 40.61% incline in its year-to-date price. Bitcoin’s rally has been boosted by hopes from analysts that the Federal Reserve will ease its aggressive interest rate hike.
Banking giant Goldman Sachs (NYSE: GS) has ranked Bitcoin as the world’s best-performing asset in 2023, handing it a risk-adjusted ratio of 3.1. According to the world’s second-largest investment bank, Bitcoin has outpaced the likes of the S&P 500, Nasdaq 100, real estate, and gold.
According to Sathvik Vishwanath, CEO at Unocoin, Bitcoin’s rally has been fueled by institutional buying, wider adoption, and infrastructure improvements. In a recent report by Coingecko, the rate of adoption of Bitcoin and Ethereum rose to its highest level in the fourth quarter of last year.
Investors will be eyeing the Federal Reserve’s meeting later this week in hopes of an easing on the Fed’s aggressive interest rate hike. Analysts expect a 0.25% hike to 4.75%. The Fed is set to announce its interest rate decision later Wednesday.
Bitcoin Price Analysis
On the daily chart, we can see that the Bitcoin price has been moving sideways for the past few days, before inching higher on Sunday. The cryptocurrency has remained above the 50-day and 100-day moving averages. It has also continued trading above the 25-day and 50-day exponential moving averages.
Despite the slight decline, the technical indicators show that the bulls are still in control. A retest of the key resistance level at $24,000 will have bulls eyeing the immediate resistance level at $25,000. However, a move below the support level of $22,359 will push the BTC price lower.