Bitcoin Could See an Epic Short-Squeeze Once This Key Level is Broken

Spread the love
  • Bitcoin is hovering above its key $19,000 support level following continued rejections at $19,400
  • The resistance at this level has been holding strong for the past few weeks, with buyers trying and failing on multiple occasions to post a sustained break above it
  • Once broken, the next key resistance region to watch sits between $19,800 and $20,000. A firm break above here could mean that the next leg of BTC’s parabolic rise is imminent
  • One trader is now noting that a visit to $19,300 could spark a short-squeeze that provides the cryptocurrency with enough momentum to rally significantly higher
  • If this squeeze allows it to break above $19,400, it could just be a matter of time before Bitcoin sees a rise past $20,000

Bitcoin is currently consolidating above $19,000 as it attempts to form this level into support. This has long been a pivotal level for the cryptocurrency, and breaks below it have sparked some intense selloffs.

Until $19,400 is firmly broken above and flipped into support, it is unlikely that Bitcoin will garner any serious momentum.

One trader is now watching for a move to $19,300, noting that this could spark a massive short-squeeze that helps propel Bitcoin’s price significantly higher in the days and weeks ahead.

RECOMMENDED READ:  Cosmos, Polkadot, XRP Price Movement Analysis for 3rd March, 2021

Bitcoin Consolidates Following Weekend Rally 

At the time of writing, Bitcoin is trading down marginally at its current price of $19,160. This is where it has been trading throughout the past day, with $19,400 continuing to stop it from seeing any further growth.

Once this level is shattered, posting a strong reaction to the upper-$19,000 region will be crucial for Bitcoin to see any further mid-term upside.

A rejection here could cause it to spiral lower, as it has on multiple occasions in the past.

Trader Claims $19,300 Could Spark a Massive Short-Squeeze

One popular cryptocurrency analyst is closely watching to see how Bitcoin reacts to $19,300, as he notes that a break above this level could cause BTC shorts to squeeze, boosting the crypto’s price action.

“Shorts were really aggressive again and they’re underwater now. Breach through 19300 and they get squeezed hard.”

Bitcoin

Image Courtesy of Byzantine General.

This squeeze likely needs to take place sooner than later to have a drastic impact on BTC’s price action, as bears may slowly exit their short positions the longer Bitcoin ranges below this key level.

 512 Interactions,  6 today

READ ALSO:
Bitcoin Price Movement Analysis for 11th April, 2021

Is Bitcoin nearing its peak? It's unlikely. Many on-chain measurements revealed that, although Bitcoin was highly bullish, it had not Read more

Fidelity’s Tom Jessop on why Crypto has reached a “tipping point.”

The crypto market has gained traction as a result of low interest rates and fiscal stimulus, according to a Fidelity Read more

How arrests for attempting to obtain a hitman and a nuclear bomb demonstrate that the dark web is not always anonymous.

Paying with cryptocurrency does not guarantee your safety. Most of the criticisms levelled at cryptocurrencies is that its difficult-to-trace existence Read more

Bitcoin, BTT, Dogecoin Price Movement Analysis for 7th April, 2021

Bitcoin was expected to remain above the $55,800-support, a level that coincided with its 200-SMA. BitTorrent Token was projected to Read more

The cryptocurrency market cap has surpassed $2 trillion, making it as valuable as Apple.

For the first time, the total market value of all cryptocurrencies exceeds $2 trillion. According to Goingecko numbers, the total Read more

RECOMMENDED READ:  Why did Bitcoin hit a $1 trillion market value ‘quicker' than major tech companies?
Why crypto analyst Ben Armstrong says, ‘He Very Confident Bitcoin Will Reach $300K This Year.’

Recently, blockchain expert and influencer Ben Armstrong mentioned Bitcoin in a video posted to his highly popular YouTube channel “BitBoy Read more

Binance Coin, Dogecoin, SushiSwap Price Movement Analysis for 4th April, 2021

Binance Coin predicted that fresher record thresholds will be set in the coming days due to solid technicals. Following a Read more

Tron Price Movement Analysis for 4th April, 2021

In the cryptocurrency industry, excessive uncertainty has had a long-term effect on the price of the digital commodity. This uncertainty Read more

Ethereum Price Movement Analysis for 4th April, 2021

Ethereum, the second-largest cryptocurrency, has entered a volatile zone, which could drive the digital asset's price even higher. In the Read more

Chainlink, DigiByte, Enjin Coin Price Movement Analysis for 4th April, 2021

Bitcoin faced some selling pressure just above the $59k mark, leading it to slip to $56,600. The majority of the Read more

Bitcoin fell by more than 4%, causing many other cryptocurrencies to plummet drastically.

The world's most expensive cryptocurrency fell 4.1 percent, bringing several other coins down with it, sending the economy into the Read more

Leave a Reply

Contact Us