After going back to the drawing board following post-spot Bitcoin ETF approval, investors seem to have weathered the sell-off and are now willing to bet on further price increases. With Bitcoin price rebounding above $40,000 from the dip to $38,540, attention is also spreading to the trending crypto to buy on Wednesday — the likes of Shiba Inu (INU) and Avalanche (AVAX).

The next few days would be very essential for the crypto market. Further price increases would mean that the bearish cloud that hovered across the market the last two weeks is clearing. This is an assurance to investors that the downtrend is over and likely to follow another breakout.

BTC price prediction today

The largest cryptocurrency is up by a modest 3.2% on Wednesday to $40,160. The positive outlook, seemingly overdue, follows a massive trend correction that saw Bitcoin price tumble from its 2024 peak at $49,000 to $38,540.

For many investors, the pullback came as an unwanted surprise. Instead of a rally erupting after the spot BTC ETF, the market dumped profusely.

A higher support at $40,000 is needed to affirm the potential for the new uptrend. Otherwise, another slip below this might trigger a deeper sell-off to $36,000.

BTC price chart | Tradingview

Before going all-in on Bitcoin due to the fresh positive outlook above $40,000, traders must ensure that the Relative Strength Index (RSI) is rising toward the overbought region.

Shiba Inu price flashes green, $0.00001 SHIB incoming?

The second most prominent meme coin, Shiba Inu is among the cryptos rebounding on Wednesday after a gruesome two weeks of uncontrollable declines.

Shiba Inu explored areas below the pivotal $0.00001 and extended the leg to $0.0000085. Thanks to the bullish wave traversing the market, SHIB had climbed to almost touch $0.000009 but had been held back by resistance highlighted by the 200 Exponential Moving Average (EMA) (purple).

SHIB price chart | Tradingview

A successful retest of the 200 EMA resistance would clear the path for Shiba Inu to reach gains above $0.00001. The meme coin has the potential to rise to staggering levels on the upside with investors hoping to see it above $1 in the coming bull market.

Avalanche (AVAX) flaunts a pennant pattern

Avalanche was not spared by the intense selling pressure in the last couple of weeks as it came down tumbling from highs almost at $50 to below $30. A support established at $28 allowed bulls to regain control of the trend. It also improved investor confidence in the potential trend reversal.

Momentum from buying the dip activities is backing an ongoing recovery as AVAX finds its way above $30.

AVAX price chart | Tradingview

Based on the RSI, the path of the least resistance is gradually shifting upwards. Another minor bump in the price and Avalanche will head for a potential bullish pennant pattern breakout likely to bolster the uptrend targeting $50 in the short-term.

If support at $30 and $28 weakens, calling on traders to consider shorting AVAX, nosediving to $20 would be back on the cards.

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The post 3 Crypto To Buy Today 24 Jan: BTC, SHIB, AVAX appeared first on CoinGape.

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Filed under: News - @ January 1, 1970 12:00 am