Bitcoin rallies to new 2020 trading high above $13,000
Bitcoin rallied to a new 2020 trading high this week, following strong technical buying and bullish news surrounding the payment provider PayPal. Bitcoin advanced above the $13,000 level for the first-time since June 2019 this week, following a strong technical breakout above the $12,000 level. Bullish fundamental news that PayPal is offering crypto services also gave Bitcoin a strong boost the upside. Recent data from the Bitcoin futures market showed that institutions are taking record bullish bets towards BTCUSD. Traders may now look to target the former yearly trading high for Bitcoin, which is located at the $13,900 resistance level.
- The BTCUSD pair is only bearish while trading below the $11,800 level, key support is found at the $11,500 and $10,800 levels.
- The BTCUSD pair is only bullish while trading above the $11,800 level, buyers may test towards the $13,700 and $15,000 resistance levels.
Equity markets came under further selling pressure this week, as Republican and Democratic party negotiators once again failed to agree to a new US coronavirus stimulus package ahead of the US election. US and European equity markets fell sharply lower as traders reacted negatively to the news that US citizens may not received additional financial support until after the November 3rd election. Financial markets also fell on the bearish news that Coronavirus cases across Europe and the United States continued to climb, raising fears over governments imposing more global lockdowns. The S&P 500 was amongst the worst affected by the series of bearish fundamental development, after suffering a heavy rejection from the 3,500 resistance level.
- The S&P 500 is only bullish while trading above the 3,460 level, key resistance is found at the 3,500 and 3,530 levels.
- The S&P 500 is only bearish while trading below the 3,460 level, key support is located at the 3,390 and 3,360 levels.
Sterling received a notable boost this week, after the EU and UK Brexit negotiators revealed that they will continue to negotiate the Withdrawl Agreement into November. Traders and investors reacted positively to the news, after fears that the United Kingdom and EU would Brexit cease negotiations as early as this week. The GBPUSD pair rallied towards the 1.3160 area after staging a notable technical breakout above the 1.3000 level, following weeks of range bound trading. The FTSE 100 came under severe downside pressure due to UK COVID-19 lockdown fears, and its negative correlation with sterling.
- The GBPUSD pair is only bearish while trading below the 1.2900 level, key support is found at the 1.2800 and 1.2660 levels.
- If the GBPUSD pair trades above the 1.2900 level, buyers may test towards the 1.3160 and 1.3280 resistance levels.
Altcoins started to move higher this week, following the breakout rally in Bitcoin and the bullish news surrounding the payment provider PayPal. Ethereum and Litecoin benefit from the news and rallied towards levels not seen since early-September this year. Etheruem and Litecoin also started to break higher due to Bitcoin rallying, as most of the top altcoins often share a strong positive price correlation with the pioneer cryptocurrency. Ethereum, the second-largest cryptocurrency, rallied towards the $400.00 resistance level, while Litecoin staged a notable technical breakout above the $55.00 resistance level.
- The ETHUSD pair is only bearish while trading below the $380.00 level, key support is found at the $350.00 and $330.00 levels.
- The ETHUSD pair is only bullish while trading above the $380.00 level, buyers may test towards the $430.00 and $450.00 resistance levels.