BTC/USD Analysis – November 10, 2021

Bitcoin Price Prediction

The BTC/USD ended the day at $66,935.0, having reached a high of $68,429.0 and a low of $66,343.0.Due to increased inflows and cryptocurrency adoption, BTC hit its record highs on Tuesday and reached well above $68,000 for the first time in history. However, the leading crypto could not remain at its highest level and dropped to a loss for the day as investors started taking profits off their trades.

When inflation and other factors were casting uncertainty over equity markets, the leading cryptocurrency, Bitcoin, was emerging as digital gold and gaining traction as a potential safe haven. Moreover, the drop in the US dollar price also added upward pressure on BTC/USD as both shares have a negative correlation. The US Dollar Index (DXY) fell to 93.88 on Tuesday, assisting BTC in reaching a new all-time high.

A report suggested that New York City’s Mayor-elect Eric Adams has endorsed a community-led proposal to launch the NYCCoin on November 11. CityCoins, the same company that provided MiamiCoin, was launching a cryptocurrency focused on New York. The firm utilises the Stacks Protocol, built atop the Bitcoin blockchain, to enable smart contracts and issue its coins.

Adams was elected NYC Mayor on November 2 and is scheduled to take the reins in 2022. The 61-year-old Democrat is a strong crypto follower and encourager who has vowed to take his first three paychecks in Bitcoin and has advocated for crypto education to be taught in local schools.

Meanwhile, the CEO of Valkyrie, Leah Wald, was optimistic about the future of the recent Valkyrie Bitcoin Strategy ETF. She said that she was very excited and bullish for the next year. She said that large pools of wealth and money managers from sovereign wealth funds, pensions, and insurance companies were still waiting to see how the structure would work. She said that she liked the market's reaction to ETFs.

The recent upward trend in Bitcoin and other cryptocurrencies is providing strength to the overall digital asset market. Inflows into bitcoin products and funds have hit a record high of $6.4 billion this year, totalling $95 million last week. Analysts believe that huge pandemic savings and more upbeat global growth prospects suggest that digital assets will remain well-supported for the long term.

On the other hand, despite Bitcoin reaching new all-time highs, a JP Morgan report suggested that Ethereum was still a better bet for crypto fans than Bitcoin. These comments could have added to the downward pressure on BTC/USD on Tuesday.

BTC/USD Intraday Technical Levels

Support Resistance

66042.4 68128.4

65149.7 69321.7

63956.4 70214.4

Pivot Point: 67235.7

BTC/USD - Technical Outlook

The BTC/USD is trading at a level of 66,349, exhibiting a bearish correction on the 4-hour timeframe. On the downside, Bitcoin has formed a double bottom level, which is supporting the coin at a level of 66,349 USD.The violation of this support level exposes the BTC/USD price towards the next support level of 65,167, which marks the 38.2% Fibonacci retracement level. An additional breakout of 65,167 exposes the BTC prices towards the 61.8 Fibo level of 64,090.

On the bullish side, the major resistance stays at the 67,425 level and a breakout of this exposes BTC/USD towards 68,609 and 69,687 levels. The RSI and MACD are supporting a bearish correction in BTC. Let’s keep an eye on the 67,427 level today as bearish bias dominates below this level. All the best!