Bitcoin Price Bullish Setup Still Eyes $20,000 Despite Crucial Hurdle at $16,000

BTC-long-short-positions
  • Bitcoin retested resistance at $16,000 after taking down the buyer congestion at $15,500.
  • On-chain data suggests that the flagship cryptocurrency’s path with the least resistance is upwards.

Bitcoin reclaimed the position above $15,500 following a period of consolidation. Similarly, flagship cryptocurrency defended its position above $15,000, but a breakout was eventually going to take with the price action leaning more to the upside. Gains above $15,500 brushed shoulders with $16,000 before bulls lost steam.

At the moment, the bellwether cryptocurrency is doddering at $15,665 amid a bearish building momentum. At the same time, BTC/USD is dancing within the confines of an ascending triangle. The pattern is common in technical analysis and usually points towards the continuation of the trend before the consolidation.

In this case, Bitcoin is likely to breakout above the x-axis of the triangle. On the other hand, the hypotenuse will continue to function as key support. Price action beyond the x-axis could trigger immense buy orders to pull BTC towards $20,000.

BTC/USD 4-hour chart

BTC/USD price chart
BTC/USD price chart by Tradingview

According to IntoTheBlock’s IOMAP model, the king of digital assets has a clear path to the all-time high. However, some delay is expected to take precedence between $16,105 and $16,568. Here, approximately 156,000 addresses had previously purchased roughly 100,000 BTC. Trading above this hurdle might encourage more buyers to join the market as the fear of missing out returns into the market.

Bitcoin IOMAP chart

Bitcoin IOMAP chart
Bitcoin IOMAP chart by IntoTheBlock

On the flipside, immense support is accorded to Bitcoin starting with the robust buyer congestion zone between $15,159 and $15,622. Here, about 1 million addresses had previously bought roughly 626,000 BTC. Therefore, Bitcoin is likely to continue with the uptrend as opposed to sliding to lower levels.

Bitcoin Intraday Levels

Spot rate: $15,665

Relative change: -40

Percentage change: 0.3%

Trend: Short term bearish bias

Volatility: Expanding

The post Bitcoin Price Bullish Setup Still Eyes $20,000 Despite Crucial Hurdle at $16,000 appeared first on Coingape.



from Coingape https://coingape.com/76603-2/

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