FxWirePro- BTCUSD Daily Outlook

BTCUSD prices showed a nice pullback after hitting a low of $38505.It hit a high of $42824 and is currently trading around $ 42045.

Economic data

US Advance GDP grew at a faster pace at 3.3%, compared to a forecast of 2%. US durable goods orders came unchanged in Dec. The Core PCE rose by 2.9% last month from 3.2% in Nov.

ETF analyst speculates $8.5 trillion financial giant asset manager Schwab will enter into BTC ETF race.

Factors to watch for Bitcoin price action

US markets -

NASDAQ (negative correlation with BTC) - Bullish (neutral for BTC). The NASDAQ pared some of its gains after hitting an all-time high. Any break below 17280 will drag the index to 17180/17000.

According to the CME Fed watch tool, the probability of a no-rate cut in Jan unchanged at 97.9% from 97.90% a week ago.

Technicals

BTCUSD trades above the short-term moving average (21 and 55 EMA) and below the long-term moving average (200 EMA) in the 4-hour chart.

Minor support- $41400. Any break below will take it to the next level at $40700/$40000/$38500.

Bull case

Primary supply zone -$40700. Any surge past this level confirms an intraday bullishness. A jump to $41500/$43500/$45000/$46180/$49050 is possible.

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

It is good to buy on dips around $41000 with SL around $38500 for TP of $50000.