Bitcoin above 20K AGAIN! Is Bitcoin Price Bullish Today?

The crypto market is moving still in a sideways trend. Trading cryptocurrencies is being favored by crypto enthusiasts rather than simply buying and holding. The reason for this is that consolidation phases are much more predictable thanks to technical analysis. Crypto traders are loving the current crypto dynamics in the market. After Bitcoin fell to the low of $18,500, prices soared and we have Bitcoin above 20K today. Is Bitcoin bullish today now that BTC price is above 20K? Let’s analyze in this Bitcoin price prediction article.

Cryptos are still Consolidating – What’s Happening to Cryptos?

Bitcoin prices reached their bottom of $18,500 and even consolidated around that low price for a full week. This led to a bearish sentiment in the crypto market. Most cryptos were looking bearish, and also consolidated around their respective support areas. Bitcoin still has a significant 40% market dominance in the crypto market. This causes other cryptocurrencies to become highly influenced by Bitcoin’s price action.

When Bitcoin consolidates, other cryptocurrencies tend to also consolidate. If we compare Bitcoin’s price action to most cryptocurrencies, we would see a very similar pattern in prices. For comparison, we can see below Bitcoin’s chart and Ethereum’s chart.

BTC/USD 12-hours chart
Fig.1 BTC/USD 12-hours chart – GoCharting
ETH/USD 12-hours chart
Fig.2 ETH/USD 12-hours chart – GoCharting
exchange comparison

Bitcoin Above 20K – Consolidation Ended?

As stated earlier, Bitcoin was consolidating between $18,500 and $22,500. Recently, Bitcoin prices plunged below 20K and reached the lower consolidation area around $18,500. For almost a week, prices stayed relatively low, prompting most traders to close their positions or to consider shorting in case prices breached this support area.

However, big tech companies started to stock up again on Bitcoins. Microstrategy just purchased around 301 Bitcoins which were valued around $6 million. With such purchases occurring, crypto prices are bound for an increase, especially that there is lack of any positivity in the market.