Bitcoin worth will get nearer to the final massive hurdle earlier than $20,000

Whereas the US’ election continues to be undecided, Bitcoin (BTC) is experiencing a significant rally, as BTC worth nearly reached $16,000 at this time, the very best degree since January 2018.

Different asset courses have additionally been doing nicely, equivalent to Nasdaq, which noticed beneficial properties of greater than 7% in latest days. Within the cryptocurrency markets, Ether (ETH) has began to climb as nicely, with ETH hitting $445.

The final weekly hurdle earlier than a brand new all-time excessive is shut

BTC/USDT 1-week chart. Supply: TradingView

The weekly chart of Bitcoin is exhibiting the ultimate hurdle earlier than the brand new all-time excessive will be reached, because it’s going through the resistance zone between $15,800 and 16,800.

The chance of a breakthrough in a single go shouldn’t be excessive, provided that the value of Bitcoin has already surged by greater than 50% in latest weeks.

Because the rally could now be overextended, as a number of indicators counsel, it’s unlikely to anticipate additional continuation. In different phrases, merchants will possible be taking some fast income after such an enormous rally in a brief time frame.

Subsequently, the probably help zone primarily based on the weekly chart is discovered on the $11,600–12,000 space. This zone has been a vital resistance to a breakthrough within the earlier years, as Bitcoin’s worth has been consistently rejected on this space. A help/resistance flip on this space could be comparatively wholesome.

Concern and Greed reaching ranges not seen earlier than

The Concern and Greed Index is at present exhibiting a price of 90, which is classed as excessive greed and warning merchants {that a} correction shouldn’t come as a shock.

Crypto Concern and Greed historic index. Supply: Alternative.me

The final time this sentiment degree was reached was through the summer time of 2019. This rally ran from $3,200 to $13,800 and resulted in a correction of greater than 50% within the following months.

Complete market cap making an attempt a breakout continuation

Complete market capitalization cryptocurrency 1-week chart. Supply: TradingView

The entire cryptocurrency market capitalization is exhibiting a transparent breakout above the latest excessive of $390 billion.

This breakout seems more likely to proceed rallying towards $500 billion — the following resistance zone discovered on this chart. Nevertheless, to maintain such a rally, the whole market capitalization of cryptocurrencies has to carry above $390 billion, as that will doubtlessly lead to a bullish help/resistance flip for extra upside.