Bitcoin faces tough daily resistance as BTC price matches UK pound volatility


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Bitcoin (BTC) confirmed no indicators of a breakout on Oct. 20 as tantalizing sideways motion dragged on.

BTC/USD 1-hour candle chart (Bitstamp). Supply: TradingView

Analyst: Bitcoin vary “congested and significant”

Information from Cointelegraph Markets Pro and TradingView confirmed BTC/USD firmly rangebound at round $19,000 in a single day, transferring solely round $400 up or down.

United States equities opened with no vital volatility, this targeted extra on the UK, the place the pound reacted to information that Liz Truss had resigned as prime minister.

Chart knowledge circulating on social media on the time of writing confirmed that pound and BTC volatility had change into virtually an identical, the latter already in its least risky interval since 2020.

GBP vs. BTC volatility chart. Supply: db/ Twitter

With macro triggers failing to have an effect, analysts flagged strong assist and resistance ranges maintaining value motion in verify.

“Bitcoin continues to commerce in a congested and significant vary,” Keith Alan, founding father of analytics useful resource Materials Indicators, summarized on the day.

Alan highlighted two key transferring averages (MAs) closing in on one another and appearing as resistance boundaries to the buying and selling vary.

“The 21-Day MA has confluence with resistance on the pattern line from the ATH and the 50-Day MA has confluence with resistance on the 2017 Prime,” he defined.

BTC/USD 1-day candle chart (Bitstamp) with 21, 50 MA. Supply: TradingView

Change knowledge hints at power of breakdown

Persevering with investigation of the present buying and selling vary, Filbfilb, co-founder of the buying and selling suite DecenTrader, had some lackluster information for bulls.

Associated: Capitulation or profit-taking? Bitcoin whale moves 32K BTC dormant since 2018

Evaluation of liquidation knowledge on main alternate Bitfinex yielded a conclusion that an upside breakout from the vary would “not have the momentum {that a} draw back break would obtain.”

The hazard of a severe assist loss thus remained a agency risk based mostly on dealer exercise.

Alongside a chart of liquidations, Filbfilb summarized that “a break above the vary will doubtless be much less brutal than one to the down.”

BTC/USD annotated chart. Supply: Filbfilb/ Twitter

The views and opinions expressed listed below are solely these of the creator and don’t essentially mirror the views of Each funding and buying and selling transfer entails threat, you must conduct your individual analysis when making a call.