Bitcoin (BTC) set another record in 2020, topping $ 18,000 for the first time in three years.
November 17th BTC price rose to $ 17,858 after a high-volume rally cleanly pushed the price through the $ 17,100 to $ 17,300 rangewhich many analysts thought was a strong resistance.
According to the co-founder of Decentrader, filbfilb, Bitcoin price could continue to rise in the short term if key underlying supports hold.
The popular analyst tweeted the graphic above, saying:
“The current PA could very easily turn to the golden ratio multiplier, which is currently 19,000.”
As shown in the weekly chart, Bitcoin is just a hair short of the all-time high of $ 19,763 that it hit in December 2017and in multiple time frames, The Visible Volume Profile Area (VPVR) shows minor resistance above $ 17,000.
Analysts had expected a brief consolidation in price in the $ 17,500-17,700 range.Some traders took profits, but the bulls seem intent on pushing BTC higher. Till date, Bitcoin is up 13.06% since breaking the $ 16,000 resistance. Hence, a period of consolidation is expected to provide support for the next rally..
Regarding the basics of today’s price movement and possible short-term outcomes, said Matt Blom, director of global sales for EQUOS:
“The market has expanded upwards and is above the trend channel. He seems to be entering a starting phase. If the bull market is strong, the trend is up. For me, the question arises as to when the increase is no longer sustainable. “
When BTC broke the $ 17,000 level, There has been a lot of talk about whether the price will fall near the 2017 high or fall above “resistance” levels and rise to a new all-time high..
According to Blom:
“If we get to $ 19,050 this week, I would expect it to drop to the $ 17,000 level. There’s a lot of new money in bitcoin, you’ve never seen a bitcoin pullback! Bitcoin has reversed sharp moves in the past, but this time around, an ingredient is missing! Lack of self-liquidation of leveraged long positions. “
In 2017, the increase was entirely due to retailers and a massive amount of FOMOHowever, in 2020 the scenario is very different.
Throughout 2020, Cointelegraph reported on the growing trend of large Bitcoin acquisitions by institutional investors. The data also shows that the increasing volumes in the regulated Bitcoin and Ethereum derivatives markets are the result of bigger hands dealing with Bitcoin.
“The fact that the market is now concentrating its bullish efforts during the institutional work week is a clear indication that the real money has arrived, leading me to believe that the retreat anticipated by many may be minor.”