Bitcoin (BTC) Update: course towards $12,000 in green weekend

The Bitcoin (BTC) price at the time of writing is around $11,400. We look at the charts and discuss the possible scenarios, read the update here!

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Bitcoin Update
By the end of the week it looks as if the course will be in the current consolidation zone. With a test at both the top and bottom of the range over the last few days, we will most likely have a quiet weekend in the market.

So far the price seems to be between $11,250 and $11,550. The place where the price managed to keep quiet during the summer. Because both support and resistance is strong here. We can see a long quiet price again before there is an outbreak.

A potential outbreak can cause a big reaction again. Where we fell down last time out of consolidation, there is always the possibility of a sharp rise. But a prediction out of consolidation is difficult, and the course will move unpredictably.

Bitcoin day chart
In times of consolidation, viewing charts can sometimes be quite boring. Little happens and predicting an outbreak is less reliable. Nevertheless, it is good to keep an eye on the market and predict possible outbreaks by means of support and resistance lines, among other things.

If we look at Bitcoin’s daily chart, we can see that the price has risen nicely in recent days. We see that the large fall at the beginning of September has largely been reversed. This is a good sign, but the price is at an important point. The spot where the price broke down last time.

Despite the fact that we are still in a short period of consolidation at the moment, a lot can happen around this level. Should the price not hold up above $11,400 this weekend, we may see another dip.

Bitcoin day chart 18 October 2020

So closing a price above $11,400 can be seen as bullish. And so also a start towards the road to $12,000. Although we will not get to that for the time being, given the current movements.

In case of a possible fall down, we see more than enough support on the road to $11,000. Including a large zone around $11,300. With little volume the price will therefore not fall down quickly. If the price is going to make a test here, the chance of a bounce back up is high.

If we look at the other side, we see that there is currently a lot of resistance between $11,600 and $11,800. Also here we will not find an outbreak with little volume that quickly. A serious movement will have to be initiated with a lot of volume.

All in all, we can conclude that the price is consolidating into a known range. With a bullish signal when the price will close above $11,400 this weekend. Whether we will then see more action in the coming week is difficult to say. But consolidation can also have bullish consequences.