BTCUSD pushes through key technical resistance level
Bitcoin/US Dollar Index (BTCUSD) Technical Analysis Report for Oct 20, 2020 | by Techniquant Editorial Team
Moving higher for the 4th day in a row, BTCUSD finished Tuesday at 11921.78 gaining $164.90 (1.4%) on high volume. Today's close at 11921.78 marks the highest recorded closing price since September 1st. Closing above Monday's high at 11821.95, the cryptocurrency confirmed its breakout through the previous session high after trading up to $225.78 above it intraday.
Daily Candlestick Chart (BTCUSD as at Oct 20, 2020):
Tuesday's trading range has been $359.34 (3.06%), that's above the last trading month's daily average range of $278.02. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for BTCUSD.
Buyers managed to take out the key technical resistance level at 11827.45 (now S1), which is likely to act as support going forward.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
With prices trading close to this year's high at 12474.73, upside momentum could accelerate should Bitcoin be able to break out to new highs for the year. Further buying might move prices higher should the market test September's nearby high at 12062.06.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "4 Consecutive Higher Closes" stand out. Its common bullish interpretation has been confirmed for BTC/USD. Out of 130 times, BTCUSD closed higher 59.23% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the long side has been after 10 trading days, showing a win rate of 63.08% with an average market move of 9.46%.
With six out of the other six Major Cryptocurrencies closing lower today, the ones that stand out on the negative side are BCHUSD losing -3.61% and ETHUSD closing -2.79% lower. None of the markets managed to end the day in the green. Looking at the Minor Cryptocurrencies, the winners of the day have been NANOBTC surging 4.23% and BTCJPY closing 1.53% higher. The worst performers of the day have been ZECBTC tanking -11.01% and ZECUSD closing -9.73% lower. Read more