• Bitcoin price consolidates after tagging $23,000.
• Ethereum moves in unison with BTC and eyes the $2,000 level.
• XRP price rallies by 8% on the day.

The crypto market continues to consolidate after the unexpected rally witnessed in January. While many investors may be in disbelief of the crypto’s potential, the technical analysis sheds light on previous bull run scenarios that align with the current.

Bitcoin price could have more fuel in the tank

Bitcoin price trotted into the $23,000 price zone over the weekend and has since returned under a profit-taking consolidation. As the market cools off, traders have another decision to make. Will they add to their positions, or is it time to call an end to the surging rally?

Bitcoin price currently auctions at $22,837, down 2% from the new monthly high formed at $23,371.80. The Relative Strength Index (RSI), an indicator used to gauge trend potential by assessing previous swing points, shows a bearish divergence between the newfound monthly high and the previous one that occurred on January 15 when Bitcoin breached $21,000. 

The divergence is a sign that the trend is getting overextended, which could be an enticing signal for the bears to take advantage of. Still, traders should be cautious as the diversions on the other side are extremely over territory. Bitcoin is notoriously known for trending overbought territory for weeks towards higher prices while the RSI makes lower highs. 

For instance,…