Bitcoin Price Prediction: BTC/USD Breaks an Important Resistance Level as BTC Heads to Retest $12,000 Overhead Resistance

Bitcoin (BTC) Price Prediction – October 19, 2020
BTC/USD breaks the $11,500 resistance and rebounds above $11,510. The current momentum must be sustained as price reaches a high of $11,700. The current rebound is testing the previous high of $11,720.

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

BTC/USD – Daily Chart

Earlier before now, Bitcoin has been fluctuating in a tight range between $11,200 and $11,440. The critical support zones have given the bulls the boast as buyers break the range-bound zone. Buyers also broke the $11,500 resistance after three unsuccessful attempts. This made it possible for price to rally to the $11,720 high. The breaking of the $11,500 resistance will propel BTC to retest the $12,000 overhead resistance.
On the upside, the king coin will have price acceleration as the resistance at $11,500 is breached and the momentum is sustained. Perhaps, a retest of the $12,000 overhead resistance is a matter of a few hours. However, the sustenance of the bullish momentum is doubtful after the overhead resistance is tested.

Bitcoin (BTC) Indicator Analysis
The king coin is at level 67 of the Relative Strength Index period 14. The coin is approaching the overbought region above level 70 where sellers are likely to emerge to push prices down. The Simple Moving Averages have made a bullish crossover. The 21- day SMA crosses above the 50 days SMA. This is a buy signal.

BTC/USD – Daily Chart

As price breaks the resistance at $11, 500, the coin has regained bullish momentum. The retraced candle body of the October 12 uptrend tested the 78.6% Fibonacci retracement level. This gives us the clue that the current uptrend will reach a high of 1.272 Fibonacci extension. This is the same thing as $12,148.50 high. The current uptrend will reach that level, and BTC will reverse and return 78.6 % Fibonacci retracement level where it originated.

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    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.