Trading Recommendations for the Cryptocurrency Market on January 12

[Ben Graham]

The bitcoin price has returned to $92,000, a very positive development. Ether has also benefited: trading is currently above $3,100, preserving the chance of continued upward momentum and a return to $3,200.

The rise began Sunday evening after Federal Reserve Chair Jerome Powell warned of political pressure on the central bank. Sharp price swings occurred soon after Powell, in a video address, said the U.S. Department of Justice had threatened him with criminal charges in connection with his June 2025 testimony to Congress. "The threat of criminal charges is a result of the Federal Reserve setting interest rates based on the best judgment of what will serve the public interest, not following the preferences of the president," Powell said; his term as Fed chair ends in May this year.

Recall that last year, U.S. President Donald Trump was a fierce critic of Powell over disagreements about the pace and depth of rate cuts. Trump repeatedly called on the Fed for deeper and faster cuts, demanding a policy rate of 1% or lower.

All this has led to a rejection of the U.S. dollar and to a strengthening of alternative assets, including crypto assets.

Regarding intraday strategy in the crypto market, I will continue to act on any large pullbacks in bitcoin and ether, expecting the long-term bull market to remain intact.

Short-term trading strategy and conditions are described below.

Bitcoin

Buy scenario

Scenario 1: Buy bitcoin today if the price reaches around $92,300 with a target of $92,900. Around $92,900, I will exit longs and sell immediately on the rebound. Before buying on the breakout, make sure the 50-day moving average is below the current price and the Awesome Oscillator is in positive territory.

Scenario 2: Buy bitcoin from the lower boundary at $91,800 if there is no market reaction to a breakout below that level, expecting a reversal back to $92,300 and $92,900.

Sell scenario

Scenario 1: Sell bitcoin today if the price reaches around $91,800 with a target of $90,900. Around $90,900, I will exit shorts and buy immediately on the rebound. Before selling on the breakout, make sure the 50-day moving average is above the current price and the Awesome Oscillator is in negative territory.

Scenario 2: Sell bitcoin from the upper boundary at $92,300 if there is no market reaction to a breakout above that level, expecting a reversal back to $91,900 and $90,900.

Ethereum

Buy scenario

Scenario 1: Buy ether today if the price reaches around $3,162 with a target of $3,203. Around $3,203, I will exit longs and sell immediately on the rebound. Before buying on the breakout, make sure the 50-day moving average is below the current price and the Awesome Oscillator is in positive territory.

Scenario 2: Buy ether from the lower boundary at $3,142 if there is no market reaction to a breakout below that level, expecting a reversal back to $3,162 and $3,203.

Sell scenario

Scenario 1: Sell ether today if the price reaches around $3,142 with a target of $3,110. Around $3,110, I will exit shorts and buy immediately on the rebound. Before selling on the breakout, make sure the 50-day moving average is above the current price and the Awesome Oscillator is in negative territory.

Scenario 2: Sell ether from the upper boundary at $3,162 if there is no market reaction to a breakout above that level, expecting a reversal back to $3,142 and $3,110.

The material has been provided by InstaForex Company - www.instaforex.com