- Bitcoin investors fixated on breaking $11,000 and $12,000 resistance levels.
- As Bitcoin continues to hold the $10,000 confidence continues to build among investors.
Bitcoin is moving within a narrowing range amid increased crypto volatility. Traders across the board are anticipating a breakout. However, the biggest task is to be on the right side of that breakout.
Buyers keep buying within the range between $10,000 and $10,500. At the same time, sellers are hoping to dump their coins as the price hits $12,000 as Bitstamp’s volume-weighted price in the last 30 days.
Craig Erlam, senior market analyst at Oanda Corp in London said in an interview:
“It’s irrational how fixated people become around psychological levels.” “It’s like the Dow people fixated on breaking 20,000,” he added in reference to Dow Jones Industrial Average testing the 20,000 level severally. The level was cleared about three years ago and the asset trades around 25,000 now.
As Bitcoin continues to hold the $10,000 confidence continues to build among investors. However, the upside BTC thins heading towards $12,000. Besides, it has only managed to close above this level five times in 2019. The chart for BTC shows an inverse bell curve according to Bloomberg’s analysis.
BTC/USD 4-hour chart
Erlam continued:
“You’re seeing it range-bound now. And the highs it’s been reaching are lower and lower. When it breaks out of this range, you could see a fairly strong move down.”
Read more: Bitcoin price prediction: BTC/USD short-term future is bright with the impending surge above $11k-Confluence Detector
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