Bitcoin price dips are being ‘bought up strongly,’ but a $50K close remains key

Bitcoin price dips are being ‘bought up strongly,’ but a $50K close remains key

Analysts identify the key levels BTC needs to hold in order to see continuation above $50,000.

Bulls flexed their muscles on Oct. 4 and proof of this came as Bitcoin’s (BTC) price rallied within $500 of the $50,000 mark. This move toward the key psychological resistance helped to pull the Crypto Fear & Greed Index out of the “fear” zone and into the “neutral’ state on Oct. 4. 

Crypto Fear & Greed Index. Source: Alternative

The price action for the top crypto has seen increased volatility in recent weeks as countries like China have increased their crackdown on cryptocurrencies, a move which former United States Central Intelligence Agency agent Edward Snowden says has “just made Bitcoin stronger.

Data from Cointelegraph Markets Pro and TradingView shows that after an early morning attack by bears, which pushed BTC to a low of 46,863, bulls arrived with reinforcements and lifted the price back above the $49,200 support/resistance (S/R) zone where they now battle for control.

BTC/USDT 4-hour chart. Source: TradingView

Here’s a look at how traders and analysts think about the current price action and what could happen next as the BTC price approaches $50,000.

$48,700 is a major resistance level

Traders showed an eagerness to buy up the most recent dip in BTC price, according to crypto analyst and pseudonymous Twitter user Rekt Capital, who posted the following chart, showing that BTC’s “recent dip was bought up strongly.”

BTC/USD 1-week chart. Source: Rekt Capital

The analyst was quick to point out that the price is still “wrestling with this red resistance area at $48,700,” and needs to see it flipped to support if the bulls hope to push the price higher.

Rekt Capital said:

“This is the area that needs to flip to support for a revisit of $50,000+”

BTC needs to hold a daily close above $50,000

The importance of a close above $50,000 was also stressed by options trader and pseudonymous Twitter user John Wick, who posted the following tweet emphasizing that Bitcoin price needs to close and hold above the psychologically important level in the short term. 

The analyst pointed out that October has historically been a “great month for Bitcoin to climb higher” and indicated that the current environment and technical signals suggest that BTC has the potential to establish a new all-time high in the next four weeks if it can clear the $50,000 hurdle.

Related: Bitcoin moves past $49K as Facebook, Instagram, and WhatsApp go down

The current range high is $55,000

A final bit of bullish insight was offered by Bitcoin trader and pseudonymous Twitter user George, who posted the following chart highlighting the current trading range to determine the best areas in which to open long positions.

BTC/USD 1-day chart. Source: Twitter

George said:

“Looking for longs as close to range low as possible. Target range high and daily supply ~ 55k ish.”

The overall cryptocurrency market cap now stands at $2.158 trillion and Bitcoin’s dominance rate is 42.9%.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.

  • Bitcoin
  • Ethereum
  • Tether
  • Cardano
  • Polkadot
  • Binance coin
  • Dogecoin
Scan to Donate Bitcoin to 194astnfvj2nr6izGJFwG9ebRqNU7ynQYY

Donate Bitcoin to this address

Scan the QR code or copy the address below into your wallet to send some Bitcoin

Scan to Donate Ethereum to 0xe5853a1d08b3ea0bb69276b0e40cdf858968d822

Donate Ethereum to this address

Scan the QR code or copy the address below into your wallet to send some Ethereum

Scan to Donate Tether to 0xe5853a1d08b3ea0bb69276b0e40cdf858968d822

Donate Tether to this address

Scan the QR code or copy the address below into your wallet to send some Tether

Scan to Donate Cardano to DdzFFzCqrhsu1xWeeGai3gbgsbrFP26zPaVrCJqqF286carQJmAkTitRQSUCLhYLpKCotroRRNpKj7YcnAJQqpSfsHHdj8nUaitPvH4j

Donate Cardano to this address

Scan the QR code or copy the address below into your wallet to send some Cardano

Scan to Donate Polkadot to 155rGKVEanCxpi5EqGh8yh1AkGpm6bVUa7RQNydA38KzbhNu

Donate Polkadot to this address

Scan the QR code or copy the address below into your wallet to send some Polkadot

Scan to Donate Binance coin to bnb136ns6lfw4zs5hg4n85vdthaad7hq5m4gtkgf23

Donate Binance coin to this address

Scan the QR code or copy the address below into your wallet to send some Binance coin

Tag/Note:- 105346725
Scan to Donate Dogecoin to DKN9sscVgSBVyG7f9PYJq2D3BhWK5ffUmK

Donate Dogecoin to this address

Scan the QR code or copy the address below into your wallet to send some Dogecoin


Credit: Source Link

Comments are closed.

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More

Privacy & Cookies Policy
WP Twitter Auto Publish Powered By : XYZScripts.com