Forex andCryptocurrency Forecast for January 27 – 31, 2025
The past week in the financial markets hasseen mixed movements across major currency pairs, cryptocurrencies, andcommodities. The euro-dollar pair (EUR/USD) has been navigating a correctivephase, attempting to regain upward momentum after a brief dip. Bitcoin(BTC/USD) continued its bullish trend but showed signs of a potentialshort-term correction before further growth. Meanwhile, gold (XAU/USD) remainssupported by buyers, consolidating gains with a bullish breakout in sight. Aswe approach the trading week of January 27–31, 2025, the market is expected totest significant support and resistance levels, with investors closely watchingkey indicators for directional cues.
EUR/USD
The euro-dollar pair (EUR/USD) ended the previous week near the 1.0486mark, completing a correction phase while staying within a broader upwardmovement. Despite this, the pair has exited a descending channel, though movingaverages indicate a bearish trend remains in play. Sellers have exertedpressure, signalling a potential continuation of the decline to test thesupport area around 1.0285. However, a rebound from this level is anticipated,potentially driving the pair upward toward the 1.0985 target in the comingweek.
Technical indicators suggest an additional bullish signal, with a possible testof the relative strength indicator (RSI) support line. A breakout above 1.0545would further confirm this scenario, strengthening the likelihood of continuedgrowth. Conversely, a drop below 0.9935 would invalidate this outlook,suggesting a deeper decline toward 0.9645.
BTC/USD
Bitcoin (BTC/USD) concluded last week at 105,361, continuing its advancewithin a well-established bullish channel. Moving averages confirm an ongoingupward trend, and a break above signal lines indicates sustained buyinginterest. However, a brief pullback toward the support level at 94,665 mayoccur before the cryptocurrency resumes its ascent. A successful rebound fromthis support zone could propel Bitcoin toward a target above 132,405.
Support from technical signals includes a bounce off the lower boundary of thebullish channel and the RSI support line. A breakout above 112,605 wouldfurther validate the bullish trend. Should Bitcoin breach the 81,205 levelinstead, it would suggest a breakdown of support, with potential lossesextending to 73,505.
XAU/USD
Gold (XAU/USD) ended the previous week trading near 2,772, maintaining itsbullish trajectory within a “Triangle” pattern. Moving averages reflect strongbuyer momentum, with a break above key signal lines reinforcing the possibilityof further price increases. However, a short-term decline to test the 2,695support level may occur before the commodity resumes its climb. A rebound fromthis support could drive gold prices toward a target above 3,085.
Additional support for a bullish outlook includes a bounce from the trend lineon the RSI and a rebound from the upper boundary of the “Triangle” pattern. Abreakout above 2,805 would further confirm the upward trend. Conversely, a dropbelow 2,495 would invalidate the bullish scenario, paving the way for a declinetoward 2,415.
Conclusion
The trading week of January 27–31, 2025, holds potential for significantmovements across the forex, cryptocurrency, and commodity markets. Theeuro-dollar pair could experience a rebound if support near 1.0285 holds, whileBitcoin and gold remain poised for further gains, albeit with possibleshort-term corrections. Traders should monitor key technical levels closely, asbreakouts or breakdowns will play a crucial role in shaping market sentimentand guiding trading decisions.NordFX Analytical Group
Disclaimer:These materials are not an investment recommendation or a guide for working onfinancial markets and are for informational purposes only. Trading on financialmarkets is risky and can lead to a complete loss of deposited funds.
