Bitcoin | Page 28 | The Gold Forecast

Bombshell boosts Bitcoin past technical resistance

Wednesday, October 21, 2020 - 20:22 by Joseph M. Wagner II

This “bombshell” I am referring to is the announcement by PayPal earlier today that in just a few weeks they will allow users the ability to hold and exchange cryptocurrencies in their digital wallets. This news is a gigantic leap for the adoption of Bitcoin as well as Bitcoin Cash, Ethereum, and Litecoin which will also be supported. This rollout is said to start over the next few weeks and allow for U.S. customers to make purchases with crypto sometime early next year.

This news propelled BTC past its area of resistance that served as a ceiling for almost two years to levels not seen since July 2019. This is a gamechanger as it brought the digital asset past its last real technical hurdle until nearly $14,000.

So, to traders the question becomes is this going to hold and where is it headed from here? The simple fact that this move was based on an announcement revealing that adoption of Bitcoin as a means of a global, widespread, and mainstream form of payment means it is not only a short term shot in the arm for Bitcoin but one that will have lasting implications as well.

As such I would recommend traders to enter from the long side and place protective stops at $12,600 this stop is rather tight as I believe Bitcoin will do one of two things, either continue flying higher or retrace back below the $12,600 resistance level with the ladder of the two is unlikely in my eyes.


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Previous Reports:

Friday, April 3, 2020 - 17:39
  Bitcoin showed signs that it is no longer trapped inside a narrow range and has made its exit from sideways trading. Next week will likely take it to higher pricing. When it broke out of its price range of $5,700 to $6,700 yesterday when BTC futures had their first close above $6,700 since March 12th. The high on March 12th was just at $8,000 which is also were I believe BTC is headed... Read more
Thursday, April 2, 2020 - 16:58
Bitcoin had quite a jump today with CME futures up over 10% at $6,870 as of 3 PM EST. Last night we had a jump in pricing that took Bitcoin futures up to $7,345. This recent action is very bullish and suggests that it BTC left its recent trading range and sideways activity and will soon likely retest resistance at just below $8,000 ($7,970) in the coming weeks. The resistance we see coming in... Read more
Wednesday, April 1, 2020 - 18:20
Bitcoin futures closed down today by approximately 1.8% at $6,355. Today’s lower pricing took Bitcoin back below the .78% retracement at $6,342 which it was able to regain footing above in the last few minutes of trading. This is the third day we tested this key level and BTC was able to close above it all three occasions. Two things are evident by today’s action. First that if Bitcoin futures... Read more