In less than two months, the Bitcoin price has surged more than 50%, pushing the cryptocurrency up from the lows of $10,000 around where the price was trading earlier in October to the current price of $15k+.
But with this recent volatility and price surge comes a very important question:
Is this the best time to be buying Bitcoin and can we expect to see the price continue to surge higher?
In this Bitcoin analysis, we will be going in-depth and providing answers to these important questions. We will also be pointing out key resistance levels that will be coming into play soon.
Beware Of A Blow-Off Top
Bitcoin is currently nearing its all-time highs and is also overextended and due for a massive correction, especially after the parabolic price surge that pushed the Bitcoin price from $13k to over $15k in just a matter of days.
Buying Bitcoin at these highs will only increase your exposure to the downside and the potential that you might be entering at the top.
The most important resistance to keep an eye on is the $17,209 price region. This price region has played an important resistance role in the Bitcoin price previously in the past.
There is a very high probability that we might see a Bitcoin sell-off occur in the coming days, especially if the $17,209 resistance region holds.
The first support to watch if this sell-off occurs is the $13,877 support region. A break of this horizontal support is a clear indication that we might see a steeper decline in the Bitcoin price.
However, if Bitcoin remains very bullish in the coming days and manages to break through the $17,209 resistance, then there is a very high probability we might see a massive price surge to the previous all-time highs region which is at $20k.
Never the less, we advise caution for the coming days as Bitcoin continues to trade near its all-time highs.
Waiting for Bitcoin to confirm what direction it would like to trade before opening a position can help you prevent getting faked out and buying the top.
To gain more information on how to partake in this coming Bitcoin Bull run and trade this cryptocurrency, you can read my How To Trade Bitcoin Guide. You can also check my top list of Best Bitcoin Exchanges To Trade With