HomeLatest NewsBitcoin ready to explode to $16,000

Bitcoin ready to explode to $16,000

The last time Bitcoin price traded higher than the peak reached over the past 24 hours was in January 2018

Bitcoin has touched $14,560, its highest price level in 2020, and could likely jump to $16,000 if the bulls maintain the momentum in the coming weeks.

As we noted yesterday, Bitcoin’s price against the US dollar had retreated sharply after a steady climb to highs of $14,100. The initial rejection looked like it could give bears a window, but so far, BTC/USD looks strong as the bull’s eye $15,000 level.

The BTC/USD pair has printed a higher weekly candle for four straight weeks and is forming yet another. If it achieves this, Bitcoin’s price would likely close above $14,500, a scenario likely to clear the path for a new 2020 peak.

BTC/USD price chart showing consecutive green candles on the daily time frame. Source:TradingView

BTC/USD price has jumped over 100%.

Notably, breaching the $14.5k barrier and topping out around $15,000 will leave Bitcoin price just about 40% away from creating history.

One technical analyst says that people might only realise the significance of the upside if the BTC price jumps to $16,000.

“Again, Bitcoin printing higher-highs on the daily [chart] at over $14,000. Yet it seems like it’s doing so without much excitement.  Could be the election distraction, but it doesn’t seem like many realise how big this is. Send it straight over $16k, and maybe that will wake a few up.”

Charles Edwards, the founder of Capriole Investments, simply observed, “The significance of this Bitcoin breakout above $14K cannot be understated. The train has left the station”.

Bitcoin price technical picture

Bitcoin is charting a bullish path, with price currently trending within a rising channel. The region has several positive signals on the hourly and 4-hour charts to strengthen the picture for another leg up.

The MACD indicator on the hourly chart is strengthening, while the RSI continues to trend in bullish territory.

The 78.6% Fibonacci (Fib) retracement level of the swing high from $13,500 low to $14,550 high is at $14,228. The 61.8% Fib level also resides here ($14,087).

If bulls hold prices above these levels and flip the $14,350 area into a major support zone, a decent run will likely see them test bear resolve near $16k.

Bitcoin price on the 4-hour chart. Source: TradingView

However, if downside correction materialises, the first support line is around $14,350 and the aforementioned Fib levels.

The psychological $14,000 price level provides the next support area, and beneath this level, the BTC/USD pair has support at $13,950 as marked by the 50-SMA and 100-SMA on the 4-hour chart.

A break below the lower boundary of the channel could push prices towards lows of $13,800 and the 100-SMA (hourly chart).

1
Min. Deposit
$50
Exclusive promotion
Our score
10
Accepts customers from the USA
Offers 15 crypto coins to buy&sell including BTC, LTC, ETC, NEO and more
Trade on the world's leading social trading and investing platform
Start trading
Payment Methods:
Wire Transfer, Bank Transfer
Full Regulations:
CySEC, FCA
2
Min. Deposit
$10
Exclusive promotion
Our score
9.3
24/7 Support for all Traders
Trade Margins, Indices & Futures
Highly-rated mobile app with super low rate fees
Start trading
Payment Methods:
Credit Card
Full Regulations:
3
Min. Deposit
$60
Exclusive promotion
Our score
8.7
Accessible world wide meaning you can buy cryptos no matter where you are
Save on foreign exchange fees by paying in your local currency with over 47 currencies available
Lowest fees on the market so you can get more crypto while paying less
Start trading
Payment Methods:
Credit Card, Debit Card, Skrill, Neteller, Bank Transfer, Bitcoin
Full Regulations:
FCA
Tags:

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.