On October 29, the Bitcoin rate broke through a powerful resistance barrier at $70, which raised the question of whether the coin’s price would continue to rise.
On Tuesday the price of BTC exceeded $71 for the first time since June 000, 4, thanks to a pump that began Monday evening Moscow time. The chart shows that traders bought a large number of coins, and their value jumped sharply by more than 2024%.
Bitcoin Price Rise Amid Increased Trading Volume
The positive fact is that the bulls have finally managed to break through the bearish trend line that emerged in March and have firmly established themselves above it. This fact clearly indicates that the market has turned around and indicates that the BTC price will increase.
However, in the short term, the Bitcoin rate is likely to correct. This is indicated by the overheating of the market. Firstly, the RSI index has exceeded 78, which means overbought, and the Fear and Greed indicator reached 72 and ended up in the "greed" zone. Given these factors, we can assume that:
- The BTC price will fall to $68, where the downward trend line runs;
- Then the coin rate will bounce off this barrier and update the historical maximum, exceeding $73.
Bitcoin exchange rate and RSI index change
