The entire Bitcoin (BTC) community had been eyeing high volatility for a long time. Finally, the Bitcoin community was able to witness the volatility that had been anxiously waiting for.
It was on September 27 when the trading price of Bitcoin recorded volatility that has was anticipated for a long time. The rally helped push the trading price of Bitcoin over the $20,000 level.
Bitcoin Price Recorded a Surge
The data from TradingView shows that the trading price of Bitcoin recorded a significant rise. The value of Bitcoin went up more than 7% in the 26 September trading session.
On that particular day, the trading price of Bitcoin witnessed a great push moving all the way up to $20,344. The price of Bitcoin continued hovering at the particular range before it ended up moving in a downward direction.
The digital asset consolidated to a low of $20,200 but the remarkable part is that the digital asset did not lose its $20,000 level.
Bitcoin may be forming a New Support Level
Although the bearish sentiments are dominant, the rise of Bitcoin over the $20,000 barrier time after time is a strong indication that Bitcoin is forming a support line.
It is now becoming clearer that Bitcoin is forming $20,000 as its strong support level. This is for the first time in over a week that the trading value of Bitcoin has managed to cross the $20k barrier.
Investors Wanted to Sell Bitcoin at $20,000
Initially, the market sentiments were to sell Bitcoin as its price crossed the $20,000 barrier. However, as the momentum was strong, the bulls were confident, which boosted the confidence of the investors to keep the Bitcoin they had in their possession.
Because not many investors sold the Bitcoin in their possession, it did not pull the trading price of Bitcoin below the $20k barrier.
If the trading price of Bitcoin manages to stay above $20k by the end of September, then a new psychological level will be set.
Similarly, for the first time since 2016 that Bitcoin will have ended the month of September recording a green trend.
With Bitcoin’s psychological level becoming the $20k mark, the trading price of Bitcoin may continue increasing.
Going forward, the bulls may try and push Bitcoin’s price to a higher level. If the bulls keep pouring money into Bitcoin without any hesitation, then its price may jump to a high of $21,700.
As the momentum keeps building, then more investors would join the trend, pushing Bitcoin’s price to a high of $23,300.
If the US Feds introduce another rise in the interest rates, then Bitcoin’s price may experience another dip.