FxWirePro- BTCUSD Daily Outlook

BTCUSD prices dropped more than 8% last week despite BTC ETF approval. It hit a low of $41509 and is currently trading around $42406.

Markets eye Bitcoin halving events which are 110 days away

Economic data-

It rose 0.60% m/m in Dec, compared to a forecast of 0.40%. Core retail sales ex-auto jumped 0.40% vs.0.20.

Economic calendar-

Economic calendar

US building permits and Philly fed manufacturing  (1:30 pm GMT)

Factors to watch for Bitcoin price action-

  US markets -

 NASDAQ (negative correlation with BTC) - Bullish (neutral for BTC). The 60-day correlation between Bitcoin and NASDAQ 100 turned negative, according to data from Kaiko. The NASDAQ recovered more than 200  points after a gap down. Any close above 17000 will take the index to 17500/17800.

 According to the CME Fed watch tool, the probability of a no-rate cut in  Jan increased to 97.40% from 95.80% a week ago.

 Technicals-

Minor support- $41500.  Any break below will take it to the next level at $40000/$34950.

 Bull case-

Primary supply zone -$43500.  Any surge past this level confirms an intraday bullishness. A jump to $45000/$46180/$49050 is possible.      

  Secondary barrier- $50000. A close above that barrier targets $52500/$60000.

 It is good to buy on dips around $41400 with SL around $39000 for TP of $50000.