Bitcoin (BTC) Tops $20,000, is it Time to Buy?
Financial Experts Share Their Opinions on Bitcoin
Bitcoin (BTC) surpassed a crucial level ($20,000) on the 25th. Following this, the king of cryptos started today's session in the green. It seems that the bulls have finally decided to act. Indeed, there was a lot of volume accompanying this 5% bullish move. At the time of writing on the 27th, the price of the Bitcoin is now at the price of 20 867 US. Such a price has not be seen since the last spike of early September.
A buying opportunity presented itself on October 21, at a price of $18,700. Is it still time tobuy bitcoin? Is the price doomed to go down again? Let's try to answer that in this analysis.
Bitcoin (BTC): The Perfect Time to Buy?
The price of Bitcoin has crossed a crucial level that could mean the beginning of a bull-run. This is a level close to the December 2017 peak, around $20,000. Indeed, after a drop of more than 70% since November 2021, BTC has returned to this level. After several months of hesitation, the price seems to go up.
The rise that broke this level began at $18,700. This is the low of the October 21 session. It is also the optimal entry point to buy Bitcoin before this bullish momentum. Thus, for a long position from this low, the target can be placed at $20,787.
Indeed, the price could turn around on this level. On the other hand, this is a support turned resistance that is quite crucial. However, if the bulls continue to push, it may lead the price to the "imbalance" just above. This will be the target (TP 2 at $21,418.37) if you bought Bitcoin at $18,700. Also, this target aligns with two Fibonacci levels.
Bitcoin (BTC) is over $20,000, is it time to buy?
The first is the 50% long Marubozu candle. The wave is measured from the opening of the candle to the high of the next candle. The second is the projection of the wave from the opening to the October low.
This level ($21,418.37) is then a major hurdle that could cause the price to turn downward.
Several Obstacles?
Currently, buying Bitcoin seems to be unwise. One must wait for a correction to $20,000 before considering another long-term long position. Indeed, even if buyers seem to be gaining strength, there are several hurdles to overcome.
The nearest resistance is between $20,750 and $20,850. Should the price break through this level, the bulls could drive Bitcoin above $22,400. In order to consider a long-term bull run, the bulls will need to break above the $25,000 area. Thus, this is a crucial level that aligns with the 200-day moving average.
Once crossed, it will be the perfect time to buy Bitcoin for a long-term investment. You'll have to pay close attention to Bitcoin's next moves. Indeed, the close of this October could be very decisive for the crypto industry in general.
About the Author: Brian Wallace is the Founder and President of Now Sourcing, an industry leading infographic design agency in Louisville, KY and Cincinnati, OH which works with companies ranging from startups to Fortune 500s.Brianruns #LinkedInLocal events, hosts the Next Action Podcast, and has been named a Google Small Business Adviser for 2016-present. Follow Brian Wallace on Linked In as well as Twitter.
