Bitcoin (BTC) price started the 2020 calendar year just over $7,000. Today, the coin is trading above the $10,000 mark just 38 days into the 20’s decade.
February 9, 2020 | AtoZ Markets – At the time of writing this article, the price of Bitcoin has rallied above $10,000 for the first time since November. BTC’s breaking of this key psychological and technical resistance level comes after a few days of the cryptocurrency slowly grinding higher.
Bitcoin price has yet to make a daily or weekly close above $10,000. However, analysts say that Bitcoin’s move past this key level is a precursor to an event greater move.
Here’s more on why top analysts think so.
Will Bitcoin price see further gains above $10,000?
According to prominent cryptocurrency trader and commentator LightCrypto, Bitcoin’s move into the five-digit region will likely create a scenario in which the price teleports to probably $11,000 in an hour. This would represent a 10% move in an hour, a mere sixty minutes.
/3 Which leaves only derivatives shorts who are defending their positions in hopes of closing lower as the supply. But they are trapped in game theory hell, since everyone else short is aiming to do the same thing, which makes them inadvertent bidders and keeps price trapped up.— light (@lightcrypto) February 7, 2020
Markets seek liquidity. There are hundreds of millions in stops, liquidations, and trigger orders hiding right above it. The prize is too great not to be taken.
What he’s saying is traders will try and push prices past $10,000 to trigger a larger movement or stop losses.
Light added that Bitcoin retaking $10,000 will signify to more emotional investors that the cryptocurrency has resumed its uptrend. Heading into the halving, this will likely spark even more feelings of “the fear of missing out” (FOMO).
Trader Cantering Clark echoed this thought entirely. He on Saturday posted a tweet in which he stated that it’s becoming increasingly hard not to think that if $10,000 “gets popped” that a move to $14,000 “is a breeze with the amount of FOMO we could see.
Be prepared for either scenario
Jacob Canfield also shared the same sentiments. He said that there’s a good likelihood that once Bitcoin breaks past $10,000 there will be a “$1,000 mega candle” like in 2019. That was the year prices quickly rush higher as buyers step in en-masse.
Be prepared for either scenario on #Bitcoin— Jacob Canfield (@JacobCanfield) February 8, 2020
1⃣ Fake break to $10k and get a harsh rejection.
2⃣ Break $10k and get a $1,000 mega candle (like 2019).
If short, stop would be below $10k or you'll face slippage
If long, I'd wait for $10k to break.
$10k break from 2019 attached pic.twitter.com/5Wy6XJV9Pf
Will Bitcoin price drop or continue to surge? Let us know your comments below.