Bitcoin passes $57,2K resistance to reach five-month high

A breakout could take BTC back to the $60,000 level and could potentially lead to a new all-time high price being achieved

BTC increased considerably on Oct 11, creating a large bullish candlestick, which took it inside the $57,200 resistance. This is the 0.786 Fib retracement resistance level and is the final horizontal area prior to the all-time high price.

The fact that BTC managed to close well inside this resistance area is a bullish occurrence, since the upward movement was sustained due to sellers not being able to push the price down.

In addition to this, technical indicators in the daily time frame are firmly bullish.

Firstly, the RSI has moved above the 50-line. Crosses above and below this line are used as a basis for the direction of the trend. The previous cross above this line led to an almost two-month upward move.

Secondly, the MACD is positive and increasing. This indicator is created by using a combination of short and long-term moving averages (MA). The fact that it’s positive and increasing shows that the short-term trend is moving quicker than the long-term trend.

Keep reading