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Breaking News: Is Sony The Next Crypto Bank? Tech Giant Applies For A National Charter In The US

Bitcoin Sees Bullish Opening, Can BTC Reclaim $20,000 Region?

Reynaldo Marquez
Reynaldo Marquez
1 year ago
3 mins read
Bitcoin Price

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The Bitcoin price has been able to hold its ground over the weekend, and it’s hinting at a potential bullish week for the nascent asset class. The cryptocurrency has been stuck in a tight range for the past month, unable to reclaim and flip the area north of $20,000 back to support.

Related Reading: Bella Protocol Shows Strength, Can Bulls Break A Key Resistance?

At the time of writing, Bitcoin (BTC) trades at $19,400 with a 2% profit in the last 24 hours and a 3% profit over the past week. In the crypto top 10, most cryptocurrencies are trading sideways or with small profits in the last hour, as this trading session prompted low timeframe bullish momentum across the board.

Bitcoin BTC BTCUSDT tradingview
BTC’s price moving sideways on the daily chart. Source: BTCUSDT Tradingview

Bitcoin Gearing Up For The Upside, $20,500 Holds The Key

Today’s bullish trading session has been supported by a rebound in traditional finance markets. Major U.S. indexes were able to rebound from last week’s downside move and have been recovering allowing Bitcoin and other cryptocurrencies to display some strength on lower timeframes.

The upside move might come as a surprise to many market participants expecting more losses over the rumors of insolvency surrounding financial institution Credit Suisse. Top representatives from the bank have denied the rumors, and the markets seem to be pricing them to the upside, so far.

Analyst and trader Adam Mancini celebrated the recent bullish price action for the stock market and hinted at the potential continuation of the bullish momentum. As Bitcoin and crypto continued to move in tandem with equities, the rally might be translated into further gains for the nascent asset class.

Mancini wrote the following about the current price action for the S&P 500, and the longer implication:

Excellent follow through in #ES_F: 3635, 3670 were my targets today & 3670 just hit. Key to note-by reclaiming 3635, this makes Fridays drop a big, failed breakdown & bottoming signal. Bulls must follow through though. 3705 next up, 3635-45 now must hold support.

Stars Align For A Bitcoin And Crypto Rally?

In support of the bullish thesis for Bitcoin, data from Material Indicators show a spike in buying pressure from all investors, retail, and whales. If these investors continue to bid on the price action, BTC’s price might extend its bullish momentum.

However, as the chart below shows, there is considerable ask (sell) liquidity for Bitcoin above its current levels. This selling order might cap any short time rally, and prevent the cryptocurrency from reclaiming higher levels.

Bitcoin BTC BTCUSDT Chart 2
BTC’s price (blue line on the chart) with $20 million in sell orders above its current levels. Source: Material Indicators

Additional data provided by analyst Justin Bennett indicates that the U.S. Dollar continues to see weakness over today’s trading session. As NewsBTC has been reporting, the DXY Index (U.S. Dollar) bullish price action has taken its toll on risk-on assets, such as Bitcoin and equities.

Related Reading: Ethereum Sees Surge In Number Of New Addresses – Will ETH Shine This October?

As the currency prepares for further losses, the nascent asset class might be able to bounce further and reach the top of a channel presented by Bennett. The analyst claims that as long as Bitcoin stays above $18,700, the cryptocurrency has a chance of climbing all the way up to $26,000 in the coming weeks.

No change to this. ? https://t.co/ICHbqXGbQr

— Justin Bennett (@JustinBennettFX) October 3, 2022 

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Reynaldo Marquez
Reynaldo Marquez

Reynaldo Marquez

A literature major, Reynaldo Márquez has been deeply immersed in the crypto industry since 2017. His journey began with translating articles for various crypto news outlets, a role he took on with zeal. In 2018, amidst a challenging market, he embraced his first writing assignment, demonstrating his unwavering commitment to the nascent industry and the promise of change it bears for many people worldwide.
In March 2021, he joined the prestigious crypto news outlet NewsBTC and Bitcoinist, where he not only reported on the latest crypto news but also had the privilege of interviewing some of the industry's most influential figures. A year later, his dedication and hard work were recognized, and he was promoted to Managing Editor, a position he currently holds with pride.
He believes in honesty, good communication, hard work, and the power of cryptocurrency and its potential to transform people's lives, especially those alienated by the legacy financial system. Born in 1992 in Venezuela, Reynaldo is familiar with how governments and central banks can negatively affect people, their everyday lives, and their futures by creating inflation and erasing their hopes for a better future. Thus, like many Venezuelans, he embraced this new technology to help him and his family navigate difficult times.
In another life, Reynaldo would have pursued a career as an investigator, most likely tracking down the origins of the Cyberpunk movement with the publication of William Gibson’s ‘Neuromancer.’ The intersection between fiction and reality, with the materialization of Bitcoin in 2009, would have allowed him to dive deep into the crypto sphere as something more than a financial phenomenon but also a cultural shift in society that was brewing since the XX century, and maybe even sooner, in the XIX century with the publication of Henry David Thoreau’s ‘Civil Disobedience.’
But that’s for another life. In this one, Reynaldo has been trading to improve his trading skills. Since 2023, he has been trying to learn Python to create successful strategies and find ways to execute them. It is a difficult task, which continues to keep him busy today and will most likely continue to keep him busy in the near and long term.
In his free time, he enjoys lifting heavy objects, reading, watching movies, and listening to his favorite music. Some of his favorite authors are Walt Whitman, William Faulkner, Allen Ginsberg, James Baldwin, Raymond Carver, Ray Bradbury, George Orwell, Mario Vargas Llosa, Reinaldo Arenas, Rafael Cadenas, and many others. Lately, he has been primarily interested in reading about dystopic societies, a topic that deeply resonates with the crypto industry.
Since 2023, he has lived in Spain with his wife. He loves the weather, the food, and the people and their culture. They both expect to travel much more within the country they now call home and beyond its border. He hopes to retire with his wife, maybe in a quiet place near a beach, but most likely in a city close to a library and a university with his kids and, hopefully, grandkids.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

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Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
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