Bitcoin Price Prediction: BTC/USD Slumps to $10,390 Low After Facing Rejection Twice at $11,000 Resistance

Bitcoin (BTC) Price Prediction – October 3, 2020
Bitcoin (BTC) trades marginally after October 1 breakdown. The downtrend will continue if it fails to break above the $10,700 resistance. BTC/USD price is still fluctuating above the $10,500 support.

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

For the past few days, the focus of Bitcoin was the breaking of the $11,000 resistance. Earlier on BTC has rebounded above $10,200 and came close to breaking the resistance twice. The first attempt was on September 28 when buyers pushed the price to a high of $10,986. This was repelled as the coin fell to the support above $10,700.

The second attempt was on October 1, where the bulls were overwhelmed at the high of $10.975. The coin declined sharply to a low above $10,300. Bitcoin bulls fail to achieve a breakout at the $11,000 high because of the overwhelming presence of bears at the resistance level. Today, BTC is trading at $10,566 at the time of writing. The selling pressure is likely to continue if price makes a retest at the $10,600 resistance zone.

CFTC Has Obliged to Protect Growing Markets for Digital Assets Such as Bitcoin
The Commodity Futures Trading Commission (CFTC) has obliged to protect the growing Bitcoin market. According to James McDonald, Director of the commission’s enforcement division, said: “The CFTC will continue working to protect our markets, including the burgeoning markets for digital assets such as Bitcoin, from fraudulent schemes, and will work in parallel with our criminal law enforcement colleagues where appropriate”.

In a separate development, the Commodity Futures Trading Commission made pay back $7.4 million to investors and at the same time making a commitment to protect the Bitcoin market. According to reports, Jon Barry Thomson was pleaded guilty to defrauding two investors who sent him over $7 million for a Bitcoin investment scheme that never materialized.

Meanwhile, on October 2 downtrend; the retraced green candle body tested the 78.6% Fibonacci retracement level. It indicates that Bitcoin will decline to 1.272 Fibonacci extension or $10,219.60 Low. The market is likely to reverse at this level. The reversal will be to the 78.6% Fibonacci retracement where it originated.