Bitcoin Analysis – October 05th, 2020

Bitcoin Last Week

Avoiding the week’s pivot levels will support the run at the week’s resistance. This is considered as a bullish signal for Bitcoin.

Ending the week on October 4th, Bitcoin’s price fell 1.08%, stopping at $10,687, following a 1.21% drop from last week.

The start of the week was a reversal, but a downward trend. Bitcoin rallied to a Monday high of $10,986 before turning down.

Coming up short of the first major resistance at $11,151, Bitcoin has dipped to Friday intraweek low of $10,391.

The first major support at $10,303 comes into play. Bitcoin is back at $10,700 before falling back.

Five days deep in the red, including Thursday’s 1.49% drop brought the week’s decline. However, the 1.33% gain on Tuesday and 1.22% on Sunday offset some of the losses from the beginning of the week.

For Bitcoin Week Ahead

Bitcoin will need to avoid falling back past the pivot level of $10,688 to support running its first major resistance at $10,985.

It will take support from the broader market for Bitcoin to rebound back to $10,900.

If there is no movement, the first major resistance at $11,000 is likely to bring Bitcoin back.

In the event of a breakout, Bitcoin could test a second major resistance level at $11,283 before any pullback occurs.

A failure to avoid a fall back past $10,688 will put the first major support at $10,390 to work.

To prevent prolonged sell-off, Bitcoin should avoid the supports below $ 10,300. The second major support is located at the US $10,093.

At the time of writing, Bitcoin was up by 0.36% to $10,726.0. A bullish start to the week saw Bitcoin rise from an early Monday morning low $10,680.0 to a high $10,758.

Bitcoin left the major support and resistance levels untested at the start of the week.