Big Picture: As the holidays draw to a conclusion, markets appear to be ready for some clarity. As we enter the session, the price is still hanging to the mid-range level. This level remains critical for the next impulsive move since exceeding it will drive prices higher into above resistance levels, while failing to do so will likely result in a dip back into lower support levels.
On the Upside Bulls have pushed a little higher and now confront 16,920 as a key challenge for additional intra-day gains. Attempts to exceed this level have so far failed. Surpassing this level allows for a move higher into 17,180, and it may be extended even further into 17,520. To open further upside possibilities, a strong close over 17,640 is essential.
On the Downside 16,800 remains a fine and initial price support level. The next level of immediate support is at 16,620, followed by 16,550 and 16,230. All of these are good supports that have been protecting the price for a while, but if Bitcoin fails to retake control above the 16,900 mark, all of them are vulnerable to being challenged or perhaps breached. Strength over 16,900 is essential to offset any selling pressure.