Bitcoin (BTC) just turned outside the “Fear” zone on the Crypto Fear and Greed Index for the 11th consecutive day, cementing its longest streak of fear since March 2022.
Bitcoin Fear and Greed Index is 61 – Greed
Current price: $23,780 pic.twitter.com/U5gxN3AwnT– Bitcoin Fear and Greed Index (@BitcoinFear) January 30, 2023
It comes as Bitcoin reached $23,955 at 8:10 pm UTC time on January 29, becoming the newest all-time high this year. Although it has since dropped slightly to $23,687 at the time of writing.
Meanwhile, Bitcoin sentiment is now sitting firmly in the “Greedy” zone with a score of 61, which has not been seen since the bull height around November 16, 2021, when the price was about $65,000.
However, despite the strong resurgence of Bitcoin in the past few weeks, market participants continue to debate whether the recent price increase is part of a bull trap or there is a real chance for a bull run.
Regardless, the recent rally has pushed more BTC holders back into the green.
According to data from blockchain intelligence platform IntoTheBlock, 64% of Bitcoin investors are currently making a profit.
Those who bought BTC for the first time in 2019 are now – on average – profiting too, according to on-chain analytics platform Glassnode.
We can calculate the average acquisition price for #Bitcoin by tracking exchange withdrawals.
The chart below shows the average withdrawal price for investors each year.
Average class of 2019+ $BTC now back in profit (at $21.8k)
Live Chart: https://t.co/yuhvydV70c pic.twitter.com/skjrM6w5lH
– glassnode (@glassnode) January 29, 2023
The average first purchase price for BTC investors in 2019 was $21,800, which means that those investors, on average, are up about 9% at the current price of $23,687.
related: Bitcoin eyes $25K as BTC price closes to weekly close in 5 months
Meanwhile, a 29 January poll from the crypto market platform CoinGecko has revealed that 57.7% of 3,725 Voters believe that BTC will exceed $25,000 this week, while only 21.2% of Voters believe that BTC is primed for a pullback below $22,000.
Founder and CEO of Vailshire Capital Dr. Jeff Ross also provided his own technical analysis on January 29, suggesting that a price rise to $25,000 in the short term may be on the cards:
The power of #bitcoin on the 4 hour chart continues to be impressive.
While the price action has been trending sideways for over a week, the short-term indicators (MACD, RSI) have reset again… and are now trending higher.
A price increase to ~$25k is likely.
(Not investment advice) pic.twitter.com/QaPbNrxtxZ
– Dr. Jeff Ross (@VailshireCap) January 29, 2023
Other analysts are asking excited investors to temper some expectations, however.
Chief analyst Joe Burnett of Bitcoin mining company Blockware told his 43,900 Twitter followers on January 29 that BTC will not reach and surpass its all-time high (ATH) of $69,000 until after the next Bitcoin halving event, which is expected to take place in March 2024:
I don’t think Bitcoin will make a new all time high until after the 2024 halving.
Dovish macro conditions and declining miner sell pressure will lead to the next parabolic bull run.
Using Energy Gravity as a potential top indicator, I expect the next peak to be $150k – $350k. pic.twitter.com/OfCER7s8Zq
— Joe Burnett ()³ (@IIICapital) January 29, 2023
Macroeconomist and investment advisor Lyn Alden also recently told Cointelegraph that there is “considerable danger ahead” with a risky liquidity situation that will shake the market in the second half of 2023.