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Bitcoin (BTC) Price Analysis for October 20

Should traders expect the breakout of Bitcoin (BTC) to the $12,000 resistance in the next few days?

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Cover image via www.tradingview.com

Disclaimer: The opinion expressed here is not investment advice – it is provided for informational purposes only. It does not necessarily reflect the opinion of CryptoComes. Every investment and all trading involves risk, so you should always perform your own research prior to making decisions. We do not recommend investing money you cannot afford to lose.

The situation on the cryptocurrency market has become less positive over the last few days. Most of the coins that were in the green zone have switched to red. The only crypto that keeps rising is Bitcoin (BTC), whose rate has increased by 3.35% since yesterday.

Top 10 coins by CoinMarketCap
Top 10 coins by CoinMarketCap

 Against the falling of altcoins, the dominance rate of Bitcoin (BTC) has surpassed the 60% mark and now is 60.2%.

BTC’s market share
BTC’s market share

The relevant data of Bitcoin for today:

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  • Name: Bitcoin

  • Ticker: BTC

  • Market Cap: $219,428,671,094

  • Price: $11,846.75

  • Volume (24h): $29,313,900,487

  • Change (24h): 3.02%

The data is relevant at press time.

BTC/USD: Should one expect a false breakout of the $12,000 mark?

Yesterday, buyers consolidated above the 50% fib ($11,394) and, in the afternoon, they were able to form a bullish momentum that forced the price of Bitcoin (BTC) to test the upper border of the expanding blue range. The daily high is set at $11,840.

BTC/USD chart by TradingView
BTC/USD chart by TradingView

At night, the bulls did not manage to continue their growth. The price of Bitcoin rolled back to the area of ​​$11,700 and is trying to find support. The Stoch RSI indicator shows some potential for further growth. A retest of the psychological level of $12,000 is possible today.

BTC/USD chart by TradingView
BTC/USD chart by TradingView

On the 4H chart, a strong resistance has been formed around $12,000. From the technical perspective, ongoing growth is possible to the level of $12,100.

👉 MUST READ BTC, ETH, and XRP Price Analysis for October 18related article image

However, bulls are unlikely to fix there as they lack power according to the low liquidity. In this case, the chief crypto may face a decline to $11,700 shortly.

BTC/USD chart by TradingView
BTC/USD chart by TradingView

On the bigger time frame, the situation is even more bearish as Bitcoin (BTC) is forming a triangle pattern. The decreasing buying volume, as well as the relatively low liquidity, do not consider the rise of the first crypto above $12,000. That is why the decline to the crucial support at $11,100 may occur soon.

Bitcoin is trading at $11,875 at press time.

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Denys Serhiichuk

With more than 5 years of trading, Denys has a deep knowledge of both technical and fundamental market analysis. Mainly, he has started his blog on TradingView where publishes all relevant information and makes predictions about top coins.
Thus, his experience is backed up by working in top blockchain related companies such as W12, Platinum Listing & ICO Advisory, ATB Coin, and others, can be contacted at denys.serhiichuk@cryptocomes.com