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Bitcoin Price Analysis: BTC spikes above $56,000, slowly prepares for further upside?

Bitcoin Price analysis

TL;DR Breakdown

  • Bitcoin price analysis is bullish.
  • BTC/USD saw a strong push higher overnight.
  • $56,000 resistance currently tested as support.

Bitcoin price analysis is bullish today as a spike above the $56,000 resistance was made after several days of consolidation below it. Therefore, we expect BTC/USD to continue higher over the next 24 hours.

Bitcoin Price Analysis: BTC spikes above $56,000, slowly prepares for further upside? 1
Cryptocurrency heat map. Source: Coin360

The overall market traded with mixed results over the last 24 hours. The market leaders, Bitcoin and Ethereum, gained 2.56 and 0.54 percent, respectively. Meanwhile, Shiba Inu (SHIB) was the top performer, with a gain of 12 percent.

Bitcoin price movement in the last 24 hours: Bitcoin breaks above $56,000 resistance

BTC/USD traded in a range of $54,474.95 – $56,964.66, indicating a moderate amount of volatility over the last 24 hours. Trading volume has increased by 16 percent and totals $41.5 billion, while the total market cap trades around $1 trillion once again, resulting in the market dominance of 45.78 percent.

BTC/USD 4-hour chart: BTC looking to move higher today?

On the 4-hour chart, we can see the Bitcoin price action currently retesting previous resistance as support, indicating further upside will follow later today.

Bitcoin Price Analysis: BTC spikes above $56,000, prepares for further upside?
BTC/USD 4-hour chart. Source: TradingView

Bitcoin price action has seen a strong performance so far this month. After a week-long consolidation above $41,000 during the end of September, a new major swing low was established.

From there, BTC/USD started pushing higher on the 1st of October, eventually reaching the $56,000 mark. Below the newly found resistance, a several-day consolidation was formed over the weekend, potentially indicating an upcoming reversal.

However, overnight, bulls pushed Bitcoin price above the resistance, leading to the $57,000 mark next. Over the past hours, BTC/USD has seen a slight retracement as the previous resistance gets retested as support.

Bitcoin Price Analysis: Conclusion 

Bitcoin price analysis is bullish today as a strong spike higher above previous resistance was seen overnight. Therefore, we expect BTC/USD to continue higher over the next 24 hours.

While waiting for Bitcoin to move further, read our guides on Best NFT marketplaces, NFT history and development, as well as NFT Music.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

Lapin

Lapin

Lapin is an experienced freelance Crypto and Financial market writer and analyst. He has been trading for several years and holds a bachelor’s degree in Finance.

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