Bitcoin
BTC$47 925.68

0.68%

Ethereum
ETH$3 423.11

0.38%

Cardano
ADA$2.37

0.38%

Binance Coin
BNB$410.57

0.26%

Tether
USDT$1.000627

0.04%

XRP
XRP$1.078025

0.61%

Why Bitcoin price just flash crashed 6% after rejecting at $18.5K


19 Nov 2020   #Bitcoin

The price of Bitcoin (BTC) dropped sharply after approaching $18,500 on Binance and Coinbase. The plunge took place as large sell orders were spotted on both spot and futures exchanges. As Cointelegraph previously reported, traders anticipated a pullback as the price of BTC neared the $18,000 to $19,000 resistance zone. Upon its first retest of the area in nearly three years, the market saw a strong reaction.

Bitcoin confirms $18.5k as a key near-term resistance area. There are two main reasons why Bitcoin saw a swift drop near $18,500, and this caused other cryptocurrencies like Ether (ETH) to correct even harder.

First, the $18,500 level remains the biggest resistance level before a new all-time high above $20,000. Hence, it is a key area of interest for sellers to defend, as breaching $18,500 would raise the chances of a broader rally.

Second, an overwhelming majority of Bitcoin addresses are profitable as BTC tests an important resistance area. According to IntoTheBlock, 99% of BTC addresses are now in a state of profit. This raises the probability of a profit-taking-induced pullback.

There is a high probability that dips would get aggressively bought, based on BTC’s recovery in the past two hours. Following the initial drop to $17,214 on Binance, Bitcoin immediately recovered above $17,600.

The hourly chart of Bitcoin shows that the 20-day moving average (MA) hovers at $17,586. As such, if BTC remains comfortably above that level, the likelihood of a prolonged recovery increases.

Dan Tapiero, the co-founder of 10T Holdings, expressed confidence in Bitcoin’s medium-term outlook. He said that the “big boys” or the smart money would likely buy the dips. Referring to the weekly chart of Bitcoin, he wrote:

“Not often in life do you get to look at a chart like this one. #Bitcoin to slice through highs imminently. 3rd wave up to dwarf the 2017 move and should persist for several years. Real fundamentals driving price unlike ’17 speccy/ico retail flow. Big boys will buy dips now.”

Source


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Top Cryptocurrencies with Price Predictions

# Crypto Prediction Accuracy CVIX Price 24h 7d Market Cap Volume 24h
1 Bitcoin (BTC) BTC Bitcoin predictions 86.4% 18 $47 925.68 0.68% 6.58% $901 951 445 458 $27 919 462 130
2 Ethereum (ETH) ETH Ethereum predictions 76% 50 $3 423.11 0.38% 5.21% $402 491 721 391 $15 553 045 416
3 Cardano (ADA) ADA Cardano predictions 67.2% 67 $2.37 0.38% -7.94% $75 823 653 054 $2 080 207 302
4 Binance Coin (BNB) BNB Binance Coin predictions 68.8% 70 $410.57 0.26% 2.36% $69 032 640 296 $1 283 622 699
5 Tether (USDT) USDT Tether predictions 96% 1 $1.000627 0.04% 0.04% $68 335 359 250 $59 329 429 542
6 XRP (XRP) XRP XRP predictions 72.4% 59 $1.078025 0.61% 0.96% $50 259 931 930 $2 252 778 370
7 Solana (SOL) SOL Solana predictions 57.6% 90 $167.50 13.39% -4.91% $49 743 317 996 $5 600 026 562
8 Polkadot (DOT) DOT Polkadot predictions 59.2% 81 $34.32 2.31% 8.72% $33 890 426 406 $1 838 398 069
9 Dogecoin (DOGE) DOGE Dogecoin predictions 62.8% 75 $0.241065 -0.37% 0.25% $31 660 952 487 $981 852 553
10 USD Coin (USDC) USDC USD Coin predictions 93.2% 1 $1.000557 0.03% 0.03% $29 403 262 185 $2 112 261 871
11 Avalanche (AVAX) AVAX Avalanche predictions 64.8% 69 $69.31 -5.01% 25.67% $15 268 911 437 $1 827 693 735
12 UniSwap (UNI) UNI UniSwap predictions 71.6% 63 $24.33 -0.87% 8.50% $14 880 383 376 $283 300 955
13 Terra (LUNA) LUNA Terra predictions 68% 64 $35.04 0.38% -9.65% $14 075 024 420 $740 942 492
14 Chainlink (LINK) LINK Chainlink predictions 74.4% 52 $28.27 1.53% 5.94% $12 820 613 105 $1 032 467 819
15 Binance USD (BUSD) BUSD Binance USD predictions 94.4% 1 $1.000531 0.04% 0.04% $12 820 356 340 $4 823 361 344

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