Currently BTC is in a consolidation period. We are trending sideways while the market decides what it's doing. Particularly in regards to stimulus in the US.
While I don't believe there's full correlation with the stock market, BTC does show an initial hit when things like covid affect businesses or stimulus comes out. When events like this happen, they initially affect Bitcoin with a dump or spike and then Bitcoin continues on its merry way trending upwards.
Currently the Stock market is reacting negatively to the news that a stimulus package will not come out until after the US election.
That's the news. On the technical analysis side, BTC is in a steady channel with a slight upward trend (caution, could be a bearish flag). We've seen the 13350 resistance line broken but BTC is still in a consolidation phase. I've circled the 50 moving avg where BTC is currently bouncing. This is short term current support and below that we have it's trend channel that it's has been the support in the last couple weeks. The arrows show there. On the bearish side, if we break through both of these support levels we could see Bitcoin drop to 11,350 where that has shown support in the past few months. On the bullish side we would have to see a break through the top green line to see a real move towards 15K.
For now BTC is content to chop sideways and see what happens with Stimulus and the US election.
While I don't believe there's full correlation with the stock market, BTC does show an initial hit when things like covid affect businesses or stimulus comes out. When events like this happen, they initially affect Bitcoin with a dump or spike and then Bitcoin continues on its merry way trending upwards.
Currently the Stock market is reacting negatively to the news that a stimulus package will not come out until after the US election.
That's the news. On the technical analysis side, BTC is in a steady channel with a slight upward trend (caution, could be a bearish flag). We've seen the 13350 resistance line broken but BTC is still in a consolidation phase. I've circled the 50 moving avg where BTC is currently bouncing. This is short term current support and below that we have it's trend channel that it's has been the support in the last couple weeks. The arrows show there. On the bearish side, if we break through both of these support levels we could see Bitcoin drop to 11,350 where that has shown support in the past few months. On the bullish side we would have to see a break through the top green line to see a real move towards 15K.
For now BTC is content to chop sideways and see what happens with Stimulus and the US election.