Bitcoin (BTC) has just set a new high for 2020, raising more than $ 18,000 for the first time in three years.
On November 17, the price of BTC rose to 17,858 dollars, after a large jump in volume pushed the price in the range of 17,100 to 17,300 dollars, which according to many analysts would be a strong level of resistance.
According to Decentrader’s co-founder, filbfilb, the price of bitcoin could continue to move higher in the short term if key core support is maintained.
The popular analyst tweets the above chart and says:
“The current PA can still very easily lead to a hit to the Golden Ratio multiplier, which is currently 19k.”
As shown in the weekly chart, bitcoin is only a hair’s breadth from grabbing the all-time high of $ 19,763 reached in December 2017, and over many time frames, the visible volume profile range (VPVR) shows that there is little resistance over $ 17,000.
Analysts had expected the price to consolidate briefly in the range of $ 17,500 to $ 17,700, as some traders were making profits, but the bulls seem to intend to push BTC up. To date, Bitcoin has recovered 13.06% after breaking the resistance of $ 16,000, so the period of consolidation to build support for the next stage is healthy and expected.
Regarding the fundamentals behind today’s price movements and possible short-term results, Matt Blom, Head of Global Sales at EQUOS, said:
“The market has grown upwards, breaking through the trend channel and seems to be entering a phase of blowing. With a strong bullish market, the tendency is to set a peak, for me the question is at what point the rally becomes unstable. “
As BTC broke through the $ 17,000 level, there was much talk about whether the price would drop close to the 2017 high or break the “resistance” and reach a new all-time record.
According to Blom:
“If we go up to $ 19,050 this week, I’d expect a retreat to $ 17,000. There’s a lot of new money in Bitcoin, they’ve never had a Bitcoin fix!” In the past, bitcoin has tracked sharp upward movements, but this time one ingredient is missing! The lack of self-winding of levers with levers. “
In 2017, the rally was led purely by retailers and a huge amount of FOMO, but in 2020 the scenario is much different.
Throughout 2020, Cointelegraph reports on the growing trend of large acquisitions of bitcoins by institutional investors. The data also show that the growing volume of regulated markets for Bitcoin and Ethereum derivatives is a result of greater hands-on engagement with Bitcoin.
“The fact that the market is focusing its efforts during the non-institutional working week is a clear indicator that real money has arrived, which leads me to believe that the withdrawal that many expect may be shallow.