Home Analytics of crypto BTC Heads Toward $60K as Altcoin Market Struggles

BTC Heads Toward $60K as Altcoin Market Struggles

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Crypto News


Key highlights:

  • Bitcoin is up by a very strong 25% over the past month of trading as the cryptocurrency heads back toward $60,000.
  • Ethereum is struggling against BTC and, therefore, is only up by a very small 2.4% over the month.

Bitcoin continues to rampage back toward the $60,000 level as the bulls kick back into action. The cryptocurrency found support at the 100-day MA at the end of September and started to rebound higher. By last week, BTC had already managed to take out the September highs at $52,750, and it continued higher to reach $58,000 today. The world’s largest cryptocurrency is also showing some encouraging on-chain metrics which suggest that BTC could explore higher price levels shortly.

However, as BTC soars, the rest of the industry is struggling greatly. Ethereum is now down a total of 25% against BTC since the September highs. As a result, Ethereum has only managed to increase a small 2.4% over the past month.

Although BTC might be surging, the industry won’t be completely satisfied until altcoins can make a reversal against BTC itself.

Bitcoin price analysis

BTC Heads Toward 60K as Altcoin Market Struggles

What has been going on?

Taking a look at the daily chart above, we can instantly see how well Bitcoin has performed in October. The cryptocurrency had dropped beneath an ascending wedge formation at the start of September after failing to break resistance at around $52,750. Throughout September, BTC started to drop as it initially found support at $44,800.

Unfortunately, BTC continued lower through September and continued beneath $44,800 until added support was found at the 100-day MA at around $41,160. It managed to rebound from this support toward the end of the month and had already managed to break the 100-day MA and the 50-day MA by the first day of October as BTC reached $48,000.

Throughout last week, BTC continued to surge back above $50,000 and it continued higher to breach the September highs at $52,750. BTC continued higher last week until resistance was met near $56,000.

BTC struggled with $56,000 over the weekend until yesterday when it finally broke the resistance and continued toward $58,000.

The break above the September highs is quite significant as it shows a new market structure on the way back toward the all-time high prices above $60,000.

BTC price short-term prediction: Bullish

The break above the September highs has allowed BTC to turn bullish again in the short term. The coin would now need to fall beneath the support at $48,000 (50-day MA) to turn neutral in the short term and would have to continue further beneath support at $40,000 to be in danger of turning bearish in the short term.

If the sellers do start to push lower, the first level of support lies at $56,000. This is followed by added support at $53,555 (.236 Fib Retracement), $52,750 (September highs), $52,000, and $50,900 (.382 Fib Retracement & 20-day MA).

If the bears continue to break beneath the support at $50,000, additional support lies at $48,760 (.5 Fib Retracement), $48,000 (50-day MA), $46,000, and $44,800 (100-day MA).

Where is the resistance toward the upside?

On the other side, the first resistance is expected at $58,000. This is followed by $59,560, $60,000, $60,755 (bearish .886 Fib Retracement), and $62,000.

Beyond $62,000, additional resistance lies at $62,850 (1.414 Fib Extension – orange), $64,000, $65,000 (1.618 Fib Extension – blue), $66,000, and $67,690 (1.618 Fib Extension – orange).

Ethereum price analysis

1634047679 876 BTC Heads Toward 60K as Altcoin Market Struggles

What has been going on?

Ethereum is in a different situation as it struggles to break resistance at $3,600 last week. The coin found support at $2,800 toward the end of September and started to rebound higher to reach the $3,600 resistance last week, provided by a bearish .618 Fib Retracement level.

It is struggling to break this resistance as it continues to head lower against BTC, hitting as low as 0.06 BTC today – a two-month low.

ETH is now trading sideways in a range between $3,600 and support at $3,400. It must break this established range to dictate the next direction for the market.

ETH price short term-prediction: Bullish

The breakout above the descending price channel and the subsequent climb above the 50-day MA has allowed ETH to turn bullish again. The cryptocurrency would need to fall back beneath $3,000 to turn neutral and would have to continue further beneath $2,680 to turn bearish in the short term.

If the sellers do push lower, the first support lies at $3,400. This is followed by $3,340 (50-day MA), $3,290 (.5 Fib Retracement), $3,165 (.618 Fib Retracement), and $3,000.

Where is the resistance toward the upside?

On the other side, the first level of resistance lies at $3,600 (bearish .618 Fib Retracement). Above this, resistance is expected at $3,780 (bearish .786 Fib Retracement), $3,900, $4,000, and $4,045 (bearish .886 Fib Retracement).

Added resistance lies at $4,127, $4,180, $4,280, and $4,346.




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