17.01.202512:52 Forex Analysis & Reviews: Recommendations for crypto market on January 17 (North American session)

Bitcoin and Ethereum continue their confident recovery. During the European session, Bitcoin's breakthrough of $101,400 triggered a strong recovery towards $102,300, though the target level has yet to be reached. Ethereum also saw buying activity during the breakout of $3,377, leading to a recovery slightly above $3,400.

The overall buy strategy remains effective and relevant. Bullish activity in the US stock market and the inflow of new funds into spot ETFs still support risk appetite, suggesting further growth in the cryptocurrency market. The anticipated inauguration of Donald Trump is also interpreted as a positive factor for risk assets.

More investors are beginning to realize that in the new cycle of low-interest rates, traditional assets may not deliver the expected returns, prompting a shift toward riskier investments. As the market anticipates further rate cuts in the US, the inflow of fresh funds is unsurprising. The injection of new capital into the market, combined with the growing number of cryptocurrency users, fosters a positive trend. This development could also lead to the invention of innovative products, further strengthening growth expectations.

Trump's inauguration brings new expectations of policy changes aimed at supporting businesses and removing regulatory barriers, making risk assets more attractive.

Intraday cryptocurrency market strategy

For Bitcoin and Ethereum, my approach will remain focused on leveraging significant dips for mid-term bullish market development, which is still intact. The detailed short-term trading strategy is outlined below.

Bitcoin

Buy scenarios

Scenario 1. Buy Bitcoin at the entry point of $102,526, targeting a rise to $103,800. Exit the buy position near $103,800 and sell immediately on the drop. Before buying on the breakout, ensure that the 50-day moving average is below the current price and that the Awesome Oscillator is in the positive zone.

Scenario 2. Buy Bitcoin from the lower border of $101,190 if there is no market reaction to its breakout, aiming for $102,526 and $103,800.

Sell scenarios

Scenario 1. Sell Bitcoin at the entry point of $101,198, targeting a decline to $99,600. Exit the sell position near $99,600 and buy immediately on the rebound. Before selling on the breakout, ensure that the 50-day moving average is above the current price and that the Awesome Oscillator is in the negative zone.

Scenario 2. Sell Bitcoin from the upper border of $102,526 if there is no market reaction to its breakout, aiming for $101,198 and $99,600.

Ethereum

Buy scenarios

Scenario 1. Buy Ethereum at the entry point of $3,422, targeting a rise to $3,478. Exit the buy position near $3,478 and sell immediately on the drop. Before buying on the breakout, ensure that the 50-day moving average is below the current price and the Awesome Oscillator is in the positive zone.

Scenario 2. Buy Ethereum from the lower border of $3,370 if there is no market reaction to its breakout, aiming for $3,422 and $3,478.

Sell scenarios

Scenario 1. Sell Ethereum at the entry point of $3,370, targeting a decline to $3,312. Exit the sell position near $3,312 and buy immediately on the rebound. Before selling on the breakout, ensure that the 50-day moving average is above the current price and that the Awesome Oscillator is in the negative zone.

Scenario 2. Sell Ethereum from the upper border of $3,422 if there is no market reaction to its breakout, aiming for $3,370 and $3,312.

Market Context

The cryptocurrency market remains supported by favorable macroeconomic conditions, such as low-interest rates and increased institutional adoption. Short-term strategies should account for potential market volatility influenced by external factors like economic reports and policy announcements.