Bitcoin Price
Bitcoin Sets New Yearly High After PayPal Adds Crypto: What’s Next?
Nick Chong | Oct 22, 2020 | 12:00
- Bitcoin has surged over the past few days amid strong fundamental events.
- The cryptocurrency currently trades for $12,800, just shy of a new year-to-date high.
- The coin is up over 8% in the past 24 hours alone, outperforming most altcoins and digital assets.
- The latest leg higher in the price of Bitcoin seems to be related to news that PayPal is embracing crypto.
- PayPal, a global payments company, just revealed it is adding cryptocurrency buying and selling support.
- This is seen as a validation of Bitcoin by one of the world’s most important companies in payments.
- Bitcoin is expected to move higher after this news as the technical case remains positive.
Bitcoin Sets New Yearly High
Bitcoin just set a new year-to-date high as it pushed above $12,800 just hours ago on the news of PayPal entering the crypto market. The leading cryptocurrency is expected to see an influx of retail inflows and usage after this integration.
BTC setting a new year-to-date high is important as it suggests that this market is decisively not in a downtrend.
Bitcoin failing to pass the year-to-date highs would have signaled that there may be overarching bear trends.
Analysts are keeping a close eye on the cryptocurrency as the week is half over. They say that for the cryptocurrency to confirm a bullish long-term position, it should close the weekly candle some price above $12,000.
$12,000 has long acted as an important physiological level for Bitcoin, marking the weekly highs in 2019, along with the weekly highs earlier this year.
Chart of BTC's price action since the end of 2016 with analysis by crypto trader Bitcoin Jack. Source: BTCUSD from TradingVIew.com
Room to Grow
Analysts think that Bitcoin has room to grow as it crosses important resistance levels.
One trader shared the chart below shortly after the move began. The leading cryptocurrency bounced off a pivotal macro support level during the September and early October correction. Such a resistance-support flip was last seen at the 2018 macro lows.
Chart of BTC's price action since the end of 2014 with analysis by crypto trader Crypto HornHairs Source: BTCUSD from TradingVIew.com
Others note that the cryptocurrency’s derivatives market is signaling an imminent explosion to the upside.
With funding rates still neutral to barely positive and with there being little resistance above $13,000, price discovery could take place as buyers step in. Some fund managers in the space have even mentioned that the cryptocurrency could move towards $15,000 in the weeks ahead.
Featured Image from Shutterstock Price tags: BTCUSD, BTCUSDT, XBTUSD Charts from TradingView.com Bitcoin Sets New Yearly High After PayPal Adds Crypto: What's Next?
