Bitcoin price has continued the bullish momentum as it reached a monthly high of $6515 yesterday. However, will the BTCUSD pair continue the upward trend?
November 7, OctaFX – November is turning out to be a good month for Bitcoin. It started the month trading at $6160 and reached a monthly high of $6515 yesterday. Overnight, the BTCUSD pair remained near this high.
Two Reasons Bitcoin Price Surges
There are two major reasons for the new upward surge of the currency. First, after last month’s consultative meeting between the SEC, CBOE, and VanEck, traders believe that there is a likelihood that a Bitcoin ETF will be approved. This is mostly because the proposed ETF will be priced at $200,000, in a bid to focus on institutional rather than retail investors.
The second reason is a technical one. In October, Bitcoin had a relatively dull month with the price little changed. In fact, it was the least volatile month in years.
In technical analysis, traders view a prolonged period of low volatility as the ‘calm before the storm’. This is usually an indication that the security’s price will rally in either direction. If the rally continues, it will likely test the important resistance of $7000.
This week, Hublot announced a new watch product in partnership with Hong Kong’s Octagon Strategy. The firm announced a new Bitcoin-themed watch as the world celebrates the currency’s ten years.
The watch will retail at $25000 which will only be accepted in the form of Bitcoin. As a sign of success, all the watches that were manufactured have already been pre-ordered.
Bitcoin Price Forecast: Will BTCUSD Continue the Upward Trend?
The BTCUSD pair is trading at 6470. This is lower than the previous high of 6515. It is also above the 15 and 30-day Exponential Moving Average. The drop has led to the fall of the Bulls Power.
Going forward, there is a likelihood that the pair will attempt to continue with the upward trend. If it falls, however, the pair will test the important level of 6400.
This article was provided by OctaFX. It should NOT substitute for professional marketing consulting. Forex margin trading involves substantial risks. Forex margin trading exposes participants to risks including, but not limited to, changes in political conditions, economic factors, and other factors. All of which may substantially affect the price or availability of one or more foreign currencies.