HomeLatest NewsBitcoin price sees $18,000

Bitcoin price sees $18,000

BTC price rose to highs of $18,483 before cooling off, though fresh sell-side pressure could see bears retest the $17,000 area

Bitcoin bulls are having yet another good day after pushing BTC price to highs of $18,483 in the past 24 hours. Over the past seven days, BTC/USD has surged by more than 15%, with this rally coming in the days since BTC/USD broke above resistance at $16,000.

Although prices could still dip, the market outlook suggests the path upwards might not flip until price hits a new all-time high.

BTC/USD price weekly chart. Source: TradingView

BTC/USD daily chart

The daily chart shows that BTC/USD has broken above an ascending parallel channel. The next target is $19,000-$20,000.

But if downward pressure builds short term, Bitcoin price could drop to the 200-day simple moving average support. This outlook is strengthened by an overbought RSI, which means a pullback and then a period of consolidation could follow before the uptrend resumes.

Should bulls cave in to profit-taking deals, the immediate support line is at the 50-SMA near $15,000. Ceding further control to the bears will see bulls look to defend the previous breakout high near $12,000.

Bitcoin price daily chart showing BTC/USD breakout from ascending channel. Source: TradingView

The Mayer Multiple metric, another indicator that places Bitcoin price in an oversold or overbought territory in relation to its 200-SMA, shows that the bellwether cryptocurrency is trending towards bullish overextension.

As per the chart below shared by one technical analyst, Bitcoin’s current Mayer Multiple value is 1.7 to suggest BTC/USD is trending near the top of a bullish band.

The analyst calls this price level “interesting,” noting:

“When BTC retested ATH in Jan 2017, the rejection was at 1,7MMayer (1156 usd): Top of bullish band. Today 1,7MMayer is at 18457 usd.”

Chart showing Bitcoin is trending towards bullish extension. Source: ParaboNICK on Twitter

But the current bull market for Bitcoin could be different from 2017 for one fundamental reason: the 2020 Bitcoin bull market is hoisted by an influx of institutional buyers as opposed to ‘FOMOing’ retail traders.

Therefore, while a pullback could yet see prices retreat to lows of $16,000-$15,000 short term, the fundamental strength indicates bulls will likely hit a new ATH before surrendering the initiative to the bears.

If BTC/USD rockets above $20,000, it could hit $22,000 short term before correcting lower.


Sign up to our exclusive newsletter today!

Tailored emails

No SPAM ever!

Alt coin news

Unsub anytime

After signing up, you may also receive occasional special offers from us via email. We will never sell or distribute your data to any third parties. View our privacy policy here.