Bitcoin Broke Through $11,000. Where Is It Headed Next? | The Paper Source University
Bitcoin prices surpassed $11,000 earlier today, and have been fluctuating close to that level ever since.
The digital currency reached an intra-day high of $11,103.80 close to noon EST on CoinDesk, reaching its highest since September 3, before falling below $11,000 and quickly recovering to nearly $11,100.
After climbing past $11,000 and experiencing some characteristic volatility, where will the digital currency go next?
[Ed note: Investing in cryptocoins or tokens is highly speculative and the market is largely unregulated. Anyone considering it should be prepared to lose their entire investment.]
“For now, $11k remains a ceiling until Bitcoin crosses it, closes a daily candle above it and then successfully tests it for support the next day,” said Joe DiPasquale, CEO of cryptocurrency hedge fund manager BitBull Capital.
“Meanwhile the 20-day moving average support at $10.7K remains valid,” he added.
DiPasquale emphasized the progress the digital currency has made lately, stating that:
“Finally, the fact that Bitcoin did not drop below $10,000 in the past two weeks should inspire confidence in the level’s strength as an established support!”
Tim Enneking, managing director of Digital Capital Management, also spoke to development.
“$10k has now been established as a truly strong support level (even if the futures gap at $9.7k is filled, the price will only dip down to that level briefly).”
However, he emphasized that bitcoin could face significant resistance around the $12,000 level, which he described as a “a whole other story.”
“There is major, long-term resistance at $12k,” Enneking claimed.
“Assuming that resistance turns into support (probably in early Q4), then the $14k wall looms – although it may prove to be less of a barrier than $10k was and $12k looks to be and simply be a step on the run to the ATH.”
Regardless of what challenges bitcoin prices encounter in the coming months, he offered a bullish assessment for the world’s most prominent digital currency.
“Given the current macro environment and all of the fiat institutions and writers who now recommend that BTC be a part of every portfolio, the odds are clearly stacked in favor of a BTC continuation upwards,” said Enneking.
Disclosure: I own some bitcoin, bitcoin cash, litecoin, ether and EOS.