First October spike in Bitcoin price above R356K
BTC price activity reaches a new October peak amid a falling US dollar and a good day of trading for US equities the day before. On Oct. 4, Bitcoin (BTC) made its first move above R356K as traders expected traditional resistance to limit advances.
Bitcoin bulls are fueled by multi-week dollar lows.
According to Cointelegraph Markets Pro and TradingView data, the Bitcoin/US dollar pair was up over 5% in the 24 hours before Wall Street opened.
At the outset of the week, the pair had shrugged off macroeconomic concerns, with Credit Suisse problems and the rising Russia-Ukraine crisis not slowing performance.
Short-term analysis now focuses on a run likely topping out closer to R373K, as was the case late last month, as sell-side pressure remained considerable at that level.
"The 20500-21000 range is a sell zone." "Don't be overly bullish if the price reaches there, which it should," prominent trader Il Capo of Crypto urged Twitter followers on the day.
Razzoorn, an analyst at international trade group The Birb Nest, highlighted that the latest charge was Bitcoin's fifth attempt in recent weeks to escape a large liquidity cloud.
Despite the potentially limited upward potential, Bitcoin soared in tandem with a broader risk asset wave that saw US equities finish substantially higher the day before.
At the same time, the US dollar weakened, with the US dollar index (DXY) extending losses to almost 111 points, threatening support that had been in place since mid-September.
“Up the market goes," a more optimistic observer says. Michal van de Poppe, CEO and founder of trading platform Eight, went on to say:
“Flipping $19,500(R347K) for support. Now, if the range-high at $19,600(R348K) holds for Bitcoin, I assume we’ll continue towards $22,400(398K).”
Altcoins aim to buck the trend
At the time of writing, Ether (ETH) and Ripple (XRP) led the daily performance among major altcoins.
ETH/USD traded above but has been unable to break out of its sideways trend that has been in place for several weeks since large losses occurred during the post-Merge breakdown.
After recent gains, XRP encountered a more tenacious band of resistance, bouncing off multi-week support at just around R8.
