Bitcoin Reclaims Its 20K Mark After Being Punished Last Week


Bitcoin managed to recover and break through the 20K mark after a turbulent week. The leading cryptocurrency was seen at the gates of $20,000 last Wednesday, hitting $20,200. However, it quickly declined, ending the trading day at $19,042, losing 0.49% from its starting price.

Over the course of the week, Bitcoin tested the support levels above $20K but failed to hold. But as of this writing, it has broken resistance and is now trading at $20,370, an increase of 4.8% over the 24-hour period. It remains to be seen if he will retain this position in the coming days.

Related reading: Dogecoin is on fire, rising after Elon Musk-Twitter deal confirmed

Bitcoin tests 20,000 thanks to the US dollar index

Over the past day, the price of Bitcoin has risen about 4.10%, effectively breaking the $20,000 threshold. We saw a low of $19,489 and a high of $20,370 in the last 24 hours.

Bitcoin price action in the past weeks can mostly be attributed to the US dollar index reaching a 20-year high of 114.78. However, today Drop in DXY Index Below 111 helped the stock and crypto markets recover a bit.

At the beginning of the week, BTC ignored the macro-economic concerns. Difficulties with Credit Suisse The escalating crisis between Russia and Ukraine failed to dampen performance. As a matter of fact, investors are seeking solace in Bitcoin for the credit Suisse situation.

BTCUSD
Bitcoin is currently valued at over $20,300. | Source: BTCUSD price chart from TradingView.com

Bitcoin (BTC) price awaits bullish momentum

Bitcoin price needs bullish momentum to surpass its resistance. And according to recent chart trends, we might get one soon. The short-term analysis focuses on the range that could peak at nearly $21,000. This was the case during the end of the previous month when the strong sell side pressure continued at this level.

20500-21000 sale area. If the price gets there, it shouldn’t be too bullish,” well-known trader Il Capo of Crypto Inform your Twitter followers Today is October 4th. The current push is Bitcoin’s seventh effort to escape a massive liquidity cloud in as many weeks, according to Razzoorn of The Birb Nest. Bitcoin rallied after the biggest wave of market risk that saw US stocks close higher the previous day.

More people are holding Bitcoin

Despite the current bear market for cryptocurrencies, there has been a noticeable growth in the number of bitcoin holders. This comes even though the value of Bitcoin (BTC) has seen huge fluctuations this year.

As a matter of fact, the number of people holding bitcoin is constantly increasing. IntoTheBlock stats It showed that as of September 27, there were more than 4.5 million new bitcoin holdings. This is because investors still find comfort in bitcoin as a store of wealth and a hedge against inflation.

Related reading: Breaking Ren’s protocol, is this a throwback to relief?

Bitcoin price had a hard time staying above $20,000 in a year marked by significant drops. With that said, trading volume as recently as three months last Thursday reached $42.68 billion, which is a bullish sign for traders. Currently, the market price of Bitcoin is $20,370, and the 24-hour trading volume is $35 million.

Featured image from Pixabay and chart from TradingView.com





Leave a Comment

Your email address will not be published. Required fields are marked *