Bitcoin dips below $47K as US dollar surge dampens BTC price performance

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Bitcoin (BTC) hiked $ 47,000 on January 3 as Wall Street’s first trading days in 2022 started off modest.

1 hour BTC / USD candle chart (Bitstamp). Source: TradingView

Ethereum steals the show

Data from Cointelegraph Markets Pro and TradingView showed BTC / USD acting in a narrow range at the start of the week, with traders divided on short-term results.

“It’s only a matter of time before BTC bursts, and the longer it takes, the harder it will pump,” popular Galaxy Twitter account abstract.

“Q1 is upstairs only. You heard it here first. “

Such optimism, however, was far from universal. For Cointelegraph contributor Michaël van de Poppe, the time had come to take a closer look at altcoins than BTC.

“Good Ethereum bounce and I think this one is at the bottom,” he said. noted on the state of ETH / USD on Monday.

“Still need further confirmation, but shows more strength than Bitcoin at this point. Ultimate confirmation above $ 4,100. “

ETH / USD was up over 2% in 24 hours at the time of writing, with BTC / USD conversely showing no tendency to tackle even daily highs.

1 hour ETH / USD candle chart (Bitstamp). Source: TradingView

In macro markets, the S&P 500 was higher as Wall Street opened, amid forecasts that the first half of the year would be another boon for stocks across the board thanks to the prospect of rising prices. key interest rates.

The US dollar, meanwhile, saw a sudden acceleration on Monday, with the US Dollar Currency Index (DXY) gaining rapidly – as usual, to the detriment of Bitcoin.

1-hour candle chart of the US Dollar Currency Index (DXY). Source: TradingView

No matter the bearish divergence

Meanwhile, among Bitcoin-focused analysts, TechDev has made calls for the reversal of the downtrend, arguing that the on-chain indicators do not support a bearish thesis.

Related: New Year, Even “Extreme Fear” – 5 Things To Watch Out For In Bitcoin This Week

Concerns about both the Relative Strength Index (RSI) and Moving Average Convergence / Divergence (MACD) are pale compared to more fundamental indicators that have yet to print a bearish outlook, he said. declared this weekend.

With conviction remaining high and sales declining, TechDev was in good company.

“In case nobody noticed, we’ve come a long way since nerdy HODL’ers retailers are buyers of last resort,” said entrepreneur Alistair Milne. added.

“We now have billionaires, multinationals and countries waiting to buy the dips. Anyone who takes the other side of the trade needs their head examined by the IMO.”

A new influx of institutional interest is seen by some to be ready to begin this month.