Home » Bitcoin is cooling its rally — Here are the BTC price levels to watch next

Bitcoin is cooling its rally — Here are the BTC price levels to watch next

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Bitcoin (Bitcoin) solidified its gains on Oct. 27, when a six-week high was replaced by a flat move.

BTC/USD 1 hour candlestick chart (Bitstamp).Source: Trading View

Bitcoin impresses with stability in GDP printing

data from Cointelegraph Market Pro When TradingView Bitstamp shows BTC/USD hovering around $20,500 after reaching a local high of $21,012 the day before.

The biggest cryptocurrencies tread water alongside US stocks at Wall Street’s opening, with the S&P 500 flat and the Nasdaq Composite down about 1% at the time of writing.

Meanwhile, the US Dollar Index (DXY) began to pick up losses for the day, providing headwinds for risk assets that were absent for most of the week. DXY hit his lowest level since mid-September.

A 1-hour candlestick chart of the US Dollar Index (DXY).Source: Trading View

Gross Domestic Product (GDP) data showed a recovery in the US economy in the third quarter ahead of the Federal Reserve’s interest rate decision.

“this [GDP] Eric Winograd, director of developed market economic research at AllianceBernstein, said the numbers were nonetheless weaker than last time in terms of signaling about the economy’s positive strength. . Said Financial Times.

In Europe, as expected, the European Central Bank (ECB) raised key interest rates by 0.75%.

Michael van de Poppe, founder and CEO of trading company Eight, said: wrap up.

“Honestly, Bitcoin has calmed down at these levels and would have expected a more substantial correction since the last push.”

Latest data from CME Group’s FedWatch tool put 90.8% chance of the Fed copying a 0.75% rate hike on the day.

Federal Reserve Target Interest Rate Probability Chart. Source: CME Group

$14,000 return still haunts traders’ charts

Analyzing the weekly BTC/USD chart, popular trader Rekt Capital has highlighted the zone just below $22,000 as a key zone to pick up for the bullish continuation.

Related: A record 55,000 Bitcoins, or over $1.1 billion, have been withdrawn from Binance

“BTC is slowly approaching the red resistance area,” he said I have written In the October 26th update.

BTC/USD annotated chart. Source: Rekt Capital/Twitter

Meanwhile, Crypto analyst Il Capo said $21,500 should form the basis for a consolidation if the bulls want $23,000 to materialize.

His “main scenario” remains a reversal to new macro lows for BTC/USD, which could reach $14,000.

BTC/USD annotated chart. Source: Il Capo on Crypto/Twitter

The views and opinions expressed herein are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. All investment and trading movements involve risk. You should do your own research when making a decision.