Bitcoin price has finally broken through the symmetrical triangle, where the price has been compressing for the past 30 days. After holding the $ 11,000 level at the end of the day, the price rallied to $ 11,448 with lots of volume hikes.
BTC/USD 4-hour chart | Source: TradingView
Bitcoin price rallied to $ 11,491 after bulls managed to flip the $ 11,000 from resistance to support
Bitcoin is up $200 in the past 24 hours, pushing above $11.400. The market may be moving higher on expectations of a Democratic-leaning election and a stimulus buffet that may take place to stimulate the economy.
Some opinions stated:
“Dollar getting shredded (EURUSD in blue). BTCUSD (purple) up, XAUUSD up. Market pricing in Democrat sweep and a stimulus buffet.”
Currently, Bitcoin is holding $ 11,370 and meeting resistance at $ 11.489, which is right at the top of the September 3 candle, which saw BTC drop 13% to $ 9,960. This level aligns with the VPVR node extending from $ 11,400 – $ 11,740, but if the bulls can push through this resistance cluster, another run at the $ 12,000 mark is on the cards.
On October 8, crypto analyst Micheal van de Poppe explained that from his point of view:
“If the price of Bitcoin breaks through the $ 11,100- $ 11,300 resistance zone, further bullishness can be expected towards $ 12,000. This makes the $ 11,100- $ 11,300 area is a critical zone for continuation.”
In the daily timeframe, the Relative Strength Index rose to 65, a bullish signal, and the MACD histogram reflecting the current upside momentum. As always, day traders should keep a close watch on volume as the lack of volume over the past 30 days is the main reason Bitcoin’s price has been flat and pinned below $ 11,000.
On-chain trends bullish
Underlying these fundamental factors for Bitcoin are on-chain trends that show a path of growth for the crypto-asset.
Willy Woo recently said on Bitcoin’s on-chain trends:
“Meanwhile the on-chain fundamentals are showing more new investors are coming in than the mania phase of the last cycle (Dec 2017), without it reflected in price. This is because the unfettered trading games on derivative platforms is holding the price down.”
Crucial on-chain trends including but not limited to the hash rate setting new all-time highs, active addresses increasing over time, and new addresses spiking as new users enter the network for the first time.
You can see the Bitcoin price here.
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