Bitcoin (BTC) maintained its pressure on the $28,000 resistance level as the Oct. 8 weekly close approached. Geopolitical uncertainty became a point of interest for traders, adding to the volatility in the market.
Over the weekend, BTC price performance showed resilience, avoiding downside volatility. The pair recovered from a snap retest of $27,000 on Oct. 6, thanks to surprising employment data from the United States. This data diverged from policy adjustments made by the Federal Reserve.
As the new week began, market participants focused on the $28,000 resistance level. In a low timeframe analysis of exchange order books, Skew, a popular trader, highlighted the need for significant buying power to flip $28,000 to support. He stated that the market was still trading $28K as resistance and would require a big spot buyer to break through that area successfully.
Skew also described Bitcoin’s reaction to the $28,000 level and the 200-day moving average (MA) as unfavorable. Another trader, Daan Crypto Trades, cautioned against shorting BTC if a sudden breakout occurred, as it might signal further upside potential. He mentioned the historical occurrence of weekend breakouts at these levels, which tend to have limited retracement.
Related Post
Analyzing the closing price of last week’s CME Bitcoin futures markets, Daan Crypto Trades suggested that trading around the CME price is best practiced during a ranging and choppy environment. However, he also mentioned that a strong break above this region could signal a change in the market conditions, making him hesitant to short immediately in case of a weekend pump.
Geopolitical instability was highlighted as a potential catalyst for BTC price movement. Michaël van de Poppe, founder and CEO of trading firm MN Trading, predicted a volatile week with Bitcoin continuing its upward grind and potentially reaching $30,000. He had previously forecasted a move beyond the $30,000 mark in October, which is historically Bitcoin’s strongest month.
At the time of writing, BTC/USD was trading just below $28,000, up 3.5% for the month. This data indicates the potential for further price movement in the market.
It’s important to note that this article does not offer investment advice or recommendations, and readers should conduct their own research before making any decisions.
In conclusion, Bitcoin’s pressure on the $28,000 resistance level continued, with geopolitical uncertainty adding to the market’s volatility. Traders analyzed order books and highlighted the need for significant buying power to break through the resistance. Analysts noted the potential for further upside movement if a breakout occurred. Additionally, geopolitical instability was seen as a potential catalyst for Bitcoin’s price movement. Overall, the market remained volatile, and investors should carefully consider their own research and risk tolerance before making any investment decisions.
