Why Is the Crypto Market Up Today?
The Bitcoin (BTC) price broke out above the $30,000 resistance level, while the Crypto Market Cap (TOTALCAP) moved above the $1.10 trillion resistance. The Chainlink (LINK) price finally moved above $11.
In the news, a key developer of the Bitcoin Lightning Network stepped down after finding a security vulnerability in the scaling solution. The Solana (SOL) total value locked reached a new yearly high of $350 million. This is an increase of 12.2% over the last 24 hours.
TOTALCAP Breaks Out From Resistance
TOTALCAP has increased since September 11. It broke out from a descending resistance trendline on September 18 and validated it as support seven days later (green icon).
Read More: 9 Best AI Crypto Trading Bots to Maximize Your Profits
After several unsuccessful attempts at moving above $1.10 trillion, TOTALCAP finally broke out on October 21. The high of $1.13 trillion was the highest since August 15.
TOTALCAP has resumed its increase and reached a high of $1.15 trillion today. If it breaks out from the $1.16 trillion resistance, TOTALCAP can move to the next resistance at $1.24 trillion, an increase of 8% from the current price.
TOTALCAP Daily Chart. Source: TradingViewDespite this bullish prediction, a rejection from the $1.16 trillion resistance area can cause a 4% drop to the $1.10 trillion horizontal support.
Bitcoin Approaches Yearly High
The BTC price has increased rapidly since October 11. The upward movement accelerated on October 16, and the price broke out from the $29,000 resistance area four days later.
Read More: 9 Best Crypto Demo Accounts For Trading
The BTC price reached a high of $30,985 on October 23. This was the highest price since July 14, one day after the yearly high of $31,804.
The main resistance area is at $31,500. If Bitcoin breaks out, it can reach the next resistance at $33,700 and $36,000. They would amount to increases of 10% and 17%, respectively.
BTC/USDT Daily Chart. Source: TradingViewDespite this bullish Bitcoin prediction, a rejection from the $31,500 area can cause a 6% drop to the closest support at $29,000.
Chainlink Breaks Out From 500-Day Resistance
The LINK price had fallen under a descending resistance trendline since May 2022. The line also coincided with the $8.50 horizontal resistance area.
Last week, LINK created a massive bullish engulfing candlestick with a magnitude of 35%, breaking out from the resistance trendline in the process.
In the weekly timeframe, there is no significant resistance until the $18 level, which is 70% above the current price.
LINK/USDT Weekly Chart. Source: TradingViewHowever, if LINK loses momentum and fails to sustain the rally, an 18% drop to the $8.65 horizontal support area will be expected.
For BeInCrypto‘s latest crypto market analysis, click here.
The post Why Is the Crypto Market Up Today? appeared first on BeInCrypto.
