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October 26, 2020

Current Bitcoin Volume and Price Action show a $9,100 price possibility



The markets seem to be down for the last few months and a strange force seems to be at play. However, the price of Bitcoin has managed to find itself a place between $10,200 - $11,000 despite the difficulties. Recently, there has been a further movement in range leading to a price graph that is even narrower. The constantly receding volume and the sideways price action signal that we see seems to give an idea that volatility for the cryptocurrency could well be on the rise. These circumstances have pushed some of the leading traders to speculate a breakout.



Having understood the current position, it is important to understand that the price of Bitcoin is showing no direction currently. A downward slope has been shown by altcoins. A great number of markets have been undergoing colossal corrections and this isn't a signal for worry for the entire market. Learn more about the current bitcoin volume and price action by visiting bitcoin champion

BTC seems stuck in a different range

The current Bitcoin price trends hint towards it being stuck in a sideways range. The daily chart reflects a continuation in the spotted range-bound construction. This construction was first spotted when the price dropped beneath the very crucial $11,200-11,400 barrier.

A strong move isn't predicted as long as Bitcoin keeps rowing around the resistance area. However, volatility seems to be draining as the price of the cryptocurrency seems to be reaching the peak point. Draining of volatility also means a resulting drop in volume, all of it leading to an extremely volatile move.

Understanding the Volatility Index

A lot of negativity has recently poured into the crypto markets. Bitcoin's volatility receding is a major concern. This concern also comes from the fact that this did not quite happen even after BitMEX being sued, after the KuCoin hack, or even after the FCA issuing a ban on crypto derivatives and trading. Recent addresses are suggestive of a bullish move that shall be seen any time now.

Should we expect a move with just Bitcoin price?

Recent times witnessed the introduction and resurgence of a variety of cryptocurrencies. This has led to the present outcome that seems to be a much-needed correction. However, it is for us to see how much more correction falls into the path of Bitcoin.

With Bitcoin's price hovering between levels, the total market capitalization concerning the entire sector shows a similar trend. The chart reflects a lucid breakdown of support, following a hover between $307-$338 billion.

A clear direction is currently difficult to predict for the market as well as for Bitcoin price. Following a massive crash in March, the trend has been recently noted as the price can be seen sloping downwards. So, considering a massive bull trend, Bitcoin moving to the $9,000 region certainly still gives away a bullish outlook.

News on Crypto Markets

Despite crypto markets lacking enthusiasm and a little appeal lately, it is important to note that the build-up of a bull cycle is a time taking process. In other news, market capitalization seems to have been rejected when it was at the resistance level of $380 billion. Another likely scenario is a possible retest of $225-$280 billion regions. This would lead to a confirmation of sorts when it comes to the 100-week data while also defining 200-week moving averages.

What should we hope for Bitcoin?

As we have been noting, the price and volume decline of Bitcoin is very much an occurrence. Expecting a breakdown in such a scenario is only fair and it leads to rejecting the $11,200-$11,400 area. That being said, if the cryptocurrency manages to break through this resistance, the future could unravel with a brighter light.

The ideal support levels to hope for are around $9,500-$9800 or possibly $8,800-$9,100 regions at current times. This is likely in case a rejection happens to be on the cards.

In case we witness a further correction around these regions, one can take to the assumption that the process is complete. The following year could then prove to be extremely bullish, exerting its force over the cryptocurrency market to the fullest.



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