CryptoPotato
CryptoPotato
  • Crypto News
  • Margin Trading
  • Guides
    • Bitcoin & Crypto Guides 101
    • Bitcoin For Beginners
    • Editorials
  • DeFi & NFT
  • Buy
  • Language
  • Crypto News
  • Bitcoin For Beginners
  • Cryptocurrency Guides 101
  • Editorials
  • Bitcoin & Crypto Margin Trading
  • DeFi & NFT News
  • Bitcoin Price Analysis
  • CryptoPotato Crypto Fund
  • Ethereum (ETH) Price Analysis
  • Ripple (XRP) Price Analysis
  • Market Updates
  • Interviews
  • Buy Bitcoin with Card
  • bitcoin
    BTC$23,321.00
  • ethereum
    ETH$1,665.92
    • Market Updates
    • BTC Analysis
    • ETH Analysis
    • XRP Analysis
    • Interviews
    • Opinions
    CryptoPotato
    CryptoPotato
    • Crypto News
    • Margin Trading
    • Guides
      • Bitcoin & Crypto Guides 101
      • Bitcoin For Beginners
      • Editorials
    • DeFi & NFT
    • Buy
    • Language
    • Crypto News
    • Bitcoin For Beginners
    • Cryptocurrency Guides 101
    • Editorials
    • Bitcoin & Crypto Margin Trading
    • DeFi & NFT News
    • Bitcoin Price Analysis
    • CryptoPotato Crypto Fund
    • Ethereum (ETH) Price Analysis
    • Ripple (XRP) Price Analysis
    • Market Updates
    • Interviews
    • Buy Bitcoin with Card
    Home » BTC » Bitcoin Price Analysis: BTC to $8K Or $10K? That’s the Question Following Zero Volatility

    Bitcoin Price Analysis: BTC to $8K Or $10K? That’s the Question Following Zero Volatility

    Author: Ollie Leech

    Last Updated Jul 20, 2020 @ 09:22

    Bitcoin appears to be reaching a maximum consolidation level between two trend lines, as volatility continues to decrease. This might suggest a major move in the upcoming trading session.

    Today, BTC/USD price appears to have reached maximum consolidation between two long-standing trend lines (see daily chart below). Volatility has also continued to diminish further over the weekend, with the Bollinger bandwidth now at 0.1 on the 4-Hour chart.

    These two factors suggest that a major move could take place over the course of today’s trading session. But which way will Bitcoin break out?

    The Technicals

    On the 4-Hour BTC/USD chart, we can see that the current price action is tracking inside a second bear flag pattern (lower white channel). This will be putting a lot of pressure on bullish traders to keep prices above $9,100, which has been critical short-term support during the last several days.

    On the daily chart, we can see that the latest uptrend has been inhibited by strong resistance at the 0.236 Fibonacci level (highlighted red line) at $9,211. Bitcoin’s price will need to break above this key level soon to reassure traders, otherwise, a panic-driven crash could begin.

    The low volatility is making it difficult to predict the direction of Bitcoin’s next move. The last time volatility levels were so low was back in November 2018, when the price plunged to $3,120.

    bitcoin_vol_index_jul20
    Bitcoin volatility index. Chart by TradingView

    Both the RSI and MACD indicators are now flat and trading volume remains consistent, albeit low. The only promising signal of a possible bullish breakout is the fact that the overall crypto market capital has been steadily rising over the last 4 days, from $267 billion to its current value at $272 billion.

    Money entering the market is always a good sign.

    Price Levels to Watch in the Short-term

    A convincing close above the $9,200 on the 4-Hour would be a good start for bitcoin bulls. Breaking this key Fibonacci resistance could signal to other traders that the long consolidation is about to break out to the upside, and trigger a fresh wave of buying pressure.

    It would also push BTC/USD prices above the main down-trending resistance on the daily chart, which has managed to quash 6 breakout attempts since June 1. This could also whip buyers into a frenzy.

    From there, the $9,270 and $9,300 levels could create some short-term resistance during the breakout.

    Looking South, we should expect the up-trending support (yellow line on daily) to create some early support. This sits approximately at $9,166. After that, we have the lower support of the second bear flag, which currently resides around the $9,140 mark. If that fails, we will watch the $9,000 for a reaction.

    Total Market Capital: $278 billion

    Bitcoin Market Capital: $169 billion

    Bitcoin Dominance Index: 60.8%

    * Data by Coingecko.

    BTC/USD Bitstamp Daily Chart

    btc_bitcoin_trading_july20
    BTC/USD chart via Tradingview

    BTC/USD Bitstamp 4-Hour Chart

    btc_trading_july20
    BTC/USD chart via Tradingview
    SPECIAL OFFER (Sponsored)
    Binance Free $100 (Exclusive): Use this link to register and receive $100 free and 10% off fees on Binance Futures first month (terms).

    PrimeXBT Special Offer: Use this link to register & enter POTATO50 code to receive up to $7,000 on your deposits.


    Disclaimer: Information found on CryptoPotato is those of writers quoted. It does not represent the opinions of CryptoPotato on whether to buy, sell, or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk. See Disclaimer for more information.

    Cryptocurrency charts by TradingView.
    Tags: Bitcoin (BTC) Price
    Enjoy reading? Share with your friends
    Facebook Twitter LinkedIn Telegram

    About The Author

    Ollie Leech
    More posts by this author

    Ollie had been involved in the cryptocurrency and blockchain industry since early 2017. Besides being a technical analyst based in the UK, Ollie is co-founding his first crypto-focused startup with SMC Capital. Contact Ollie: LinkedIn

  • bitcoin
    BTC$23,321.00
  • ethereum
    ETH$1,665.92
  • Join Our Community

    FacebookTwitter YouTubeTelegram


    Editorials
    2022 Was Crypto’s Dot Com Bust: Let’s Recap Tech Stocks After 2000 (Opinion)

    2022 Was Crypto’s Dot Com Bust: Let’s Recap Tech Stocks After 2000 (Opinion)

    How Long Will the Ethereum LSD Narrative Last? Talking 2023 Trends with Nansen’s Martin Lee

    How Long Will the Ethereum LSD Narrative Last? Talking 2023 Trends with Nansen’s Martin Lee

    Everything That’s Going on With Pi Network: From Start to Latest Controversial Listing

    Everything That’s Going on With Pi Network: From Start to Latest Controversial Listing

    What is Ethereum Liquid Staking and Why It Is Crucial As Shanghai Upgrade Approaches?

    What is Ethereum Liquid Staking and Why It Is Crucial As Shanghai Upgrade Approaches?

    The Lesson in Alameda-FTX About Government Regulation and Crypto (Opinion)

    The Lesson in Alameda-FTX About Government Regulation and Crypto (Opinion)

    5 Bullish and 2 Bearish Cases for DeFi Going Into 2023 (Opinion)

    5 Bullish and 2 Bearish Cases for DeFi Going Into 2023 (Opinion)

    From Google and Microsoft to Binance: Interview with Head of Product Mayur Kamat

    From Google and Microsoft to Binance: Interview with Head of Product Mayur Kamat

    Join Our Newsletter
    Become a CryptoPotato VIP
    One Weekly Email Can Change Your Crypto Life.
    Sign-up FREE to receive our extended weekly market update and coin analysis report
    We NEVER send spam. You can unsubscribe at any time.
    Invalid email address
    Thanks for subscribing!
    Footer Logo
    About
    Advertise on CryptoPotato
    About Us | Contact Us | Careers
    Editorial Policy
    Terms of service | Privacy Policy | GDPR
    More Sections
    IEO List | Evaluations
    Airdrops
    Scholarship
    Disclaimer
    Disclaimer: Information found on CryptoPotato is those of writers quoted. It does not represent the opinions of CryptoPotato on whether to buy, sell, or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk. Full disclaimer
    © Copyright CryptoPotato 2016 - 2021
    Scroll to top
    One Weekly Email Can Change Your Crypto Life.

    Sign-up FREE to receive our extended weekly market update and coin analysis report

    We never send SPAM. You can unsubscribe at any moment
    Invalid email address
    Thanks for subscribing!