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Bitcoin price prediction – Bulls tear apart $11,000 resistance to end consolidation

Bitcoin price prediction Bulls tear apart resistance to end consolidation
  • Bitcoin price prediction proved right as BTC/USD breaks past the symmetrical triangle
  • Bulls accumulated Bitcoin during 4-week consolidation to tear apart $11,000 resistance
  • Next resistance in Bitcoin price prediction lies at $11,340 and further at $11,700 level
  • On the downside, any decline will be absorbed by 50-day SMA at $10,800 support
Bitcoin price prediction – Bulls tear apart $11,000 resistance to end consolidation 1
Cryptocurrency heat map by Coin360

Bitcoin price prediction – current price overview

Bitcoin price prediction – Bulls tear apart $11,000 resistance to end consolidation 2
Bitcoin price chart by TradingView

Bitcoin price prediction of yesterday has proven right as BTC/USD moves past $11,000 resistance. Bitcoin began the day at $10,927 and posted a high of $11,118, posting an impressive daily gain. The decisive move was built on yesterday’s higher highs, and bulls pushed past the crucial resistance level to firmly take charge of the driving seat.

The stagnant trend of the past few weeks has been broken with a clear intent to move higher. Most of the technical indicators on the hourly chart have turned higher. Investors gear up to close the day above $11,000 to mark a firm footing and confirm positive bias to the Bitcoin price prediction.

The latest acquisition of $50 million worth of BTC by Square has also added to the positive mood in the crypto sphere. BitMEX legal event is behind, and crypto traders are looking for fresh signs to stimulate their buying activity. As traditional institutions choose BTC as an investment vehicle, crypto’s mainstream days are getting closer.

Bitcoin price movement in the last 4 hours – Decisive move above $11,000

Bitcoin price emerged from the symmetrical triangle to get past the 50-day moving average that stood at $10,850. The past four hours have seen the crypto king consolidate its gains above $11,000 to avoid any profit booking. Bulls have landed it safely above resistance to where it currently trades around $11,050.

The tussle between bulls and bears has finally ended with the price moving up. A daily close above $11,050 will validate the move on the 24-hour timeframe. As the dust settles, the bulls will load their ammo further to target the $12,430 level.

On the contrary, the bears will not give up easily. There can be profit booking at higher levels starting from $11,200 and up to $12,000. Institutional buying and massive move by BTC whales will be needed to sustain the price at higher levels and confirm a long-term positive Bitcoin price prediction.

BTC/USD 4-hour chart – Consolidating gains above $11,000

The 20-day exponential moving average is inching upwards as the pair moves past crucial hurdles on the hourly chart. The RSI is now firmly in the positive territory, as does the MACD. Technical indicators show that bulls have the advantage of taking the price even higher confirming yesterday’s Bitcoin price prediction.

The month-long consolidation has delivered its verdict taking the BTC/USD pair higher in a bullish stride. The extremes of the symmetrical triangle show the barrier standing at $12,500. The immediate next barrier is located at $11,700 – a point which can see profit booking by short term traders.

Bears can ruin the positive Bitcoin price prediction to bring the price down below 50-day SMA, which currently sits at $10,800. However, there’s a strong support near $10,700 to prevent any abrupt slide. Bulls will likely absorb any excessive selling here.

Square buying $50 million worth BTC is symbolic

Square, the famous, multi-billion dollar payments corporation, put faith in cryptocurrencies and announced a $50 million Bitcoin purchase. Currently, the investment approximates to one percent of the total assets of the company. Crypto enthusiasts cheer when a traditional financial institution chooses to invest in cryptocurrencies as it signifies the mainstream adoption of crypto.

Amrita Ahuja of Square said that investment in Bitcoin represents the company’s vision to achieve more financial inclusion. She adds that Bitcoin can become a ubiquitous currency in the coming years, and Square looks to build a future that is financially inclusive, incorporating multiple economic facets.

The $50 million Bitcoin investment is mediocre considering the size of Square, but it does represent the changing attitudes of large corporations towards cryptocurrencies. Another large institution, MicroStrategy, bought Bitcoin worth $425 million a month ago.

Bitcoin price prediction – Prolonged accumulation now yielding result

Bitcoin price has been trading a small range spanning a few hundred dollars. However, today’s jump past $11,000 is a result of bulls accumulating Bitcoin in the past few days. The price hasn’t decidedly fallen below $10,500 support as gradual movements helped BTC/USD tear apart the $11,000 resistance to post a high of $11,118 today.

In the past month, Bitcoin has successfully sailed past geopolitical events, altcoin decline, DeFi ups and downs, and the BitMEX saga to remain steady. The declining volatility has once again proven to be a sign of an impending bullish movement. As Bollinger Bands narrowed significantly on the daily charts, traders were long anticipating a bullish breakout that will drive the price past $11,000.

Bitcoin price prediction – Bulls tear apart $11,000 resistance to end consolidation 3
Source – Glassnode

The current volatility for the 30-day period stands at 20 percent, close to historic low levels. In the past five years, whenever BTC/USD approaches these levels, the pair moves higher. The support below at $10,500 is stable and will protect any untoward fall.

Bitcoin price prediction – BTC is well on its way to $12,000

Cole Garner, a well-known on-chain analyst, says that Bitcoin’s on-chain activity is surging as the number of BTC addresses has risen significantly in the past few weeks. He says that Chinese investors have lapped up BTC after the state media portrayed crypto positively in their latest report.

Besides BTC network buzz, the cryptocurrency’s hashrate is also rising rapidly, representing renewed miner interest.

Disclaimer – The information provided is not a 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.

Gurpreet Thind

Gurpreet Thind

Gurpreet Thind is pursuing Masters in Electrical Engineering at University of Ottawa. His scholarly interests include IT, computer languages and cryptocurrencies. With a special interest in blockchain powered architectures, he seeks to explore the societal impact of digital currencies as finance of the future. He is passionate about learning new languages, cultures and social media.

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