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Bitcoin Price Forecast - Will BTC Rise?
Technical indicators are showing indecision between bulls and bears. But the price remains near the 5-day MA at $19,210, which is 26% higher than its lowest point of the month at $17,925. Bitcoin price prediction remained neutral with a slight bullish expectation as technical indicators reflect investor indecision.
Bitcoin price forecast remained neutral with a slight bullish expectation as technical indicators reflect investor indecision. The BTC/USD pair is trading in a dart band between $19,210 and $19,000.
There is no volatility in the crypto market and it seems investors are waiting for a solid reason to trigger the breakouts.
Let's start with the highlights first, and then we'll talk about the technical outlook to determine price action.
War-Influenced Crypto Activity in Russia and Ukraine
As the conflict between Russia and Ukraine worsens, the volume and intensity of crypto activity are also worsening.
New York-based blockchain analytics firm Chainalysis has released a report on the rapid growth in the use of cryptocurrencies in Eastern Europe, much of it for illegal purposes, as a preview of its upcoming 2022 Cryptocurrency Geography Report.
Shortly after Russia invaded Ukraine in February, citizens of both countries conducted more crypto transactions. When the conflict between the two countries reached its peak, the poor economic conditions caused price increases.
According to the research organization, Russia's stablecoin volume increased from 42% in January to 67% in March. Overall, crypto activities in the country have increased since then.
Blockchain analytics company Elliptic revealed that $63 million worth of donations in Bitcoin and other currencies entered the country within two weeks of the invasion. According to an article by the Financial Times in 2022, crypto aid to Ukraine exceeded $100 million.
Long story short, Bitcoin and altcoin adoption have increased lately and this will likely have a positive impact on the Bitcoin price.
Strong US Dollar Pressures BTC
One of the reasons why Bitcoin's bullish momentum has slowed may be related to the US dollar. The University of Michigan released its consumer sentiment figures, which showed significant recovery. Consumer sentiment surpassed the market's 59-point forecast to reach a six-month high of 59.8 in October 2022, while it was 58.6 in the previous month.
However, the US Department of Commerce reported on Friday that sales remained flat in September, after rising 0.4% in August. A correction was made in the sales figure for August, which revised the growth to 0.7%.
Although the data is low, the market sees this positively and these figures will encourage the US Federal Reserve to increase interest rates by 0.75 percentage points at its November policy meeting.
Bitcoin Price Forecast – Will BTC Experience a 20% Increase?
Bitcoin's price is currently trading at $19,168 with a 24-hour trading volume of $28 billion. Bitcoin is down more than 2% in the last 24 hours. It currently ranks first on CoinMarketCap with a market cap of $367 billion.
Bitcoin found support near $19,135 and a break below the 50-day moving average indicates a downtrend. A break below $19,135 could cause BTC to drop to the previous triple bottom support near $18,709, and another downside break could lead BTC to drop to $18,246.
On the upside, there is resistance near $19,958. Investors may consider selling if the price drops below $19,135. On the other hand, a break of $19,960 and $20,458 could see the price gain 20%.