Bitcoin has paused this week after testing the key resistance level at $14,000 but the coin looks ready for another push higher. Another failure would see a correction but with a potentially hostile U.S. election ahead, BTC bulls may put pressure on the bears.
Bitcoin’s recent advance comes after the announcement that payments giant PayPal would begin accepting cryptocurrencies in its 26 million merchant stores, with the option to buy, sell, and hold crypto in PayPal accounts. The move has sparked excitement about a long-awaited move closer to mass adoption.
Ironically, the rally in BTC hit the $14,00 level exactly 12 years after the elusive Satoshi Nakamoto published Bitcoin’s white paper, which came just six weeks after the collapse of Lehman Brothers investment bank. The paper described a new decentralized currency driven by blockchain cryptography and excited early adopters who wanted to see it work in the real world.
An entire ecosystem and financial system has risen up around that thesis and it now challenges the existing financial system. The $14k level in BTC is important because it capped the 2019 rally in June of that year and it is the only real obstacle to a test of the $20,000 all-time highs once again.
Bitcoin Technical Outlook
Bitcoin has paused after hitting $14,000 but it happened on Sunday when financial markets are closed. The price is finding support and is ready for another push to that level. It may be driven by election safe haven flows. Bullish traders could try a long trade with support seen around the $12,800-13,200 levels. The Investing Cube team is currently available to help all levels of traders with the Forex Trading Course or one-to-one coaching.
Bitcoin Daily Chart