Bitcoin Price Prediction: BTC/USD Faces Rejection at the $11,400 as It Slumps to $11,200 Support

Bitcoin (BTC) Price Prediction – October 12, 2020
Following the recent surge of the BTC/USD  price to the high of $11,500, the upward move has been hampered at the recent resistance. The king coin has been fluctuating between $11,200 and $11,450 as the bulls failed to break the $11,500 resistance.

Resistance Levels: $10,000, $11, 000, $12,000
Support Levels: $7,000, $6,000, $5,000

BTC/USD – Daily Chart

For the past three days, the BTC price has been fluctuating between $11,200 and $11,450 to retest the $11,500 resistance. Today, BTC faces rejection at the $11,400 as price dropped to $11,100 low and pulled back. The king coin is trading at $11,270 at the time of writing. The upside momentum will resume if the $11,200 support holds.

It appears the selling pressure is likely to continue to the low at $11,100. At that low, the bulls may buy the dips for the resumption of the uptrend. Conversely, if the bears break below the $11,100 support, the downtrend will resume. This will portend negatively for the coin. Meanwhile, BTC price is fluctuating above the $11,200 support for the resumption of an upward move. Nevertheless, the coin is above 80% range of the daily stochastic. It indicates that it may have a downward movement of prices.

Spanish Lower House or the Congress of Deputies Get 1 Euro Equivalent in Cryptocurrency
In early October, the 350 members of Spain’s lower house were surprised as each lawmaker got the equivalent of 1 euro in crypto in their emails. The crypto was not given as a donation. This arrangement is spearheaded by Tutellus, a decentralized platform looking to create Blockchain education and technology. The project aims to promote the use of crypto currencies in the country.

According to Miguel Caballero, Tutellus founder said the goal is to raise awareness about the future role of crypto currencies in society: “We have explained to your honorable members that we are in a time of profound change in the use of money, in addition to highlighting the important role that crypto currencies have today.” Caballero indicated that the crypto currency “is not a donation” but he recognized that some congress members are familiar with cryptos. And for those who have no experience with crypto currencies, this is an opportunity to learn more.

BTC/USD – Daily Chart

From the price action, the coin has the chance of a further upward move. On September 19 uptrend, the BTC was repelled at $11,185 resistance. The retraced red candle body tested the 38.2% Fibonacci retracement level. This explains that the BTC price will rise to the 2.618 Fibonacci retracement level. In other words, the coin will rise to $13,345.80 if the resistance at $11,500 is breached.

Remember, all trading carries risk. Past performance is no guarantee of future results.

Azeez Mustapha is a technical analyst with many years trading experience in the stock exchange and crypto markets. He has broad experience in forex trading, coaching, and funds management.