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Can Bitcoin Reach $ 17,000 Soon? These are the 3 main tiers of BTC price that you should know

November 3, 2020

Bitcoin (BTC) has risen and there is no escaping it. But most of the large-cap altcoins they seem to be suffering for that bull run that leads to the question: Have we already had our off-season? Is it over or is something else coming?

Perennial resistance levels

BTC / USD 12 hour chart

12-hour chart of the BTC / USD pair. Source: TradingView

Can Bitcoin Reach $ 17,000 Soon? These are the 3 main tiers of BTC price that you should know
Can Bitcoin Reach $ 17,000 Soon? These are the 3 main tiers of BTC price that you should know

Bitcoin has been eating perennial resistance levels like Pacman with high amphetamine levels recently. Top $ 11,300, then $ 12,400, and then $ 13,100 before seeing a rejection near the $ 14,000 level.

After the $ 14,400 level, there isn’t much resistance to $ 17,000 before a new all-time high for the king of all cryptocurrencies can be recorded. But the question is Can Bitcoin no longer have momentum?

Well, BTC’s dominance has increased dramatically since mid-September. This suggests that altcoins are being sold to accumulate these funds in bitcoin in order to overcome this last important level of resistance.

4-hour chart of Bitcoin's market capitalization dominance

4-hour chart of Bitcoin’s market capitalization dominance. Source: trade view

The 4-hour chart of BTC’s market cap dominance shows us that currently it is close to 64.8% with very little resistance between 67.80% which is an increase of 4.44% and 68.98% an increase of 6.34%.

These numbers may seem insignificant But the adverse effects they have on large altcoins are overwhelming for those with large amounts of the most popular ones in the crypto space.

Chain link on the verge of sinking to individual digits

LINK daily chart

LINK daily chart. Source: TradingView

Just a few months ago, people were excited to see Zeus Capital liquidated in a short of $ 20 million when LINK traded below $ 10. The price did a similar trick as Bitcoin did in December 2017. It surpassed the expected price of $ 10 and continued to rise to $ 20 before falling.

The recent increase in the LINK price has been near the USD 7.50. If that number comes up again, the “Marines” will likely lose their love for their beloved LINK A price of $ 6.50 each day seems more likely as we build on previous support and resistance levels.

Whales are likely aware of this too Today 400,000 LINKs were sent to Binance.

If we remember what happened to Bitcoin when it hit $ 20,000, it took us a good three years to get back to those levels. So, Smart money could be accumulated in currencies like LINK and then invested in Bitcoin before taking the next big step.

I’ll watch this closely to see where it comes out. But for now It looks like this has already been done by another large altcoin that could pave the way.

The ETH price seems to have bottomed out

ETH 4-hour chart

ETH 4-hour chart. Source: TradingView

I’ve seen a lot of people Ask about the price of ETH to hit $ 300 short term, but personally I don’t see it possible. Actually, It appears that Ether has continued to make higher lows since late August and has swung well in an ascending channel.

Channel support has been intact for several months, trading at $ 370 after a $ 400 denial was found. If this pattern continues and breaks mid-level resistance around $ 400, I expect a smooth run to $ 440 in the short term.

If Ether loses support on the lower channel, I would expect support at $ 350 and $ 310, which corresponds to the Fibonacci retracement levels of 0.236 and 100% shown below.

ETH 4-hour chart

ETH 4-hour chart. Source: TradingView

3 key levels to look out for in the Bitcoin breakout

BTC / USD 1 hour chart

1-hour chart of the BTC / USD pair. Source: TradingView

Like Ether, Bitcoin is currently trending at the end of an ascending channel. with three levels to consider:

  1. Upper level resistance around $ 14,400 – this is the level to be broken. From here, a Bitcoin price of $ 17,000 feels noticeable.
  2. Average level resistance around USD 13,800 (close to current spot price) – If you exceed this level, the upper level resistance will be set as the next target. If you fall down, lower channel support will be set as your next target.
  3. Lower Channel Support: This level will likely apply based on the heat map data from the order book. However, if the orders disappear before they arrive, there may be another drop. As long as this doesn’t happen, longing for a price around $ 13,300 would be a good entry point for a possible breakout.

1-hour heat map of the BTC / USD pair

1-hour heat map of the BTC / USD pair. Source: tensor charts

The rising channel outlook is supported by the heat map data from the Binance order book. It shows a three-layer buy wall on the lower channel support level, followed by some weaker sell walls on the medium resistance level and the upper resistance level of $ 13,800 and $ 14,000, respectively.

What worries me about this data is that I previously saw a large triple block on a heat map and it disappeared when it was hit. Making knife hunters crave for what looks like solid support when in reality there are huge layers of buy-in walls up to $ 12,800.

If I were a whale, I would probably play a similar game insecurity sown to give me time to pour my big sacks of altcoins into BTC, and in the last 48 hours We saw huge amounts of altcoins setting off whale alerts. suggesting that this could happen.

This includes the $ 400 million deposited in Tether in Huobi. Something is brewing and I would like to think that it is a good thing for Bitcoin.

The bearish scenario for Bitcoin

I expect Bitcoin to decline to almost $ 13,300 in the short term. If this level does not hold, the last significant level of support you would expect is $ 12,800. If we lose $ 12,800 I would try to reevaluate my bullish to bearish bias.

The bullish scenario for Bitcoin

A close above the mid-level resistance around the USD 13,800 level would be considered somewhat bullish. From now on, The final level of resistance to break would be the $ 14,400 area to confirm that we will hit $ 17,000 very soon.

The views and opinions expressed here are solely those of @offiziellkeith and do not necessarily reflect the views of Cointelegraph. Every investment and business move is associated with risks. You must do your own research when making a decision.