At the time of writing, Bitcoin’s trading price is over the $20,000 barrier. It has been a few days since Bitcoin has proven to be resilient against the selling power of the bears.
Fight between Bulls & Bears
Bitcoin’s price is currently hovering just over the 50-day SMA ($20,019) but the bears are constantly attempting to pull it lower. They have been demonstrating strong resistance against the current trading price of BTC.
For the bears, it is important to pull Bitcoin below the $20k level. For this purpose, the bears may continue selling BTC on a larger scale.
Even though the bulls have been trying hard to resist, the pressure from the bears is constantly increasing. The bears want to achieve their goal and pull Bitcoin into the downtrend line.
By now, it has been made clear that the bears may not let the bulls push BTC that easily. They may continue applying strong selling pressure and pull BTC’s price to a lower trading level.
On the other hand, the bulls are trying their best to fight the bears off this time and push BTC higher. With a significant and consistent rally, the bulls may succeed in pushing BTC’s price over the $21k barrier.
Growth in USD Price Would Pull BTC
Despite the bullish attempts from the bulls, the bearish sentiments are stronger backed by multiple negative factors.
The US Feds are yet to release unemployment data for the month of September. As the anticipation level for the data is high, the traders are not making many investments in the USD.
Therefore, the value of the greenback has declined, providing backup to the bullish sentiments of the investors.
If the unemployment data is not up to expectations, then the Feds would have to increase the interest rates. This would eventually increase the USD price, which would pull the trading value of Bitcoin.
Bitcoin’s Decline to $17,622
If the value of the USD rises, then the bears may get the opportunity to sell BTC at a higher level. This would cause a decline in the trading price of Bitcoin, bringing it down to $18,626.
In addition to the rise in the USD trading price, the constant retesting of Bitcoin at the $20k level has exhausted the investors. Therefore, the bears may be able to continue with their selling spree for a longer period without facing any strong resistance from the bulls.
In such a scenario, the bears would be able to pull Bitcoin’s trading price to a low of $17,622.
If Things Go in Favor of the Bulls
As the situation becomes favorable for the bulls, then they would be able to push BTC’s price.
If the bulls keep pouring in more money in favor of Bitcoin, then the price of the largest crypto asset would jump to a high of $22,799.
