Bitcoin Price Forecast: BTC whales sell as price drops from key resistance levels

  • The $11,600 resistance line has proven to be a substantial barrier for the bulls.
  • The 100-day SMA has crossed over the 50-day SMA to chart the bearish cross pattern.

After finding support at the 100-day SMA, Bitcoin jumped up from $10,600 to $11,500 between October 7 and October 12. Since then, the premier cryptocurrency has been trending horizontally after facing repeated rejections at the $11,600 resistance line. The premier cryptocurrency has since dropped to $11,350.

BTC/USD daily chart

BTC/USD daily chart

The 100-day SMA has crossed above the 50-day SMA to chart a bearish cross pattern. BTC will probably drop till the point of intersection, which coincides with the $10,825 support wall. At this level, 1.4 million addresses had previously purchased 960,000 BTC. A break below this level will take the price down to the $10,500 and a further break will plummet the price down to the 200-day SMA ($9,700).



The whales are contributing majorly to the bearish pressure by dumping their holdings. The number of addresses holding 1,000-10,000 BTC has dropped from 2,082 on October 13 to 2,078 on October 16. Similarly, the number of addresses holding 10,000-100,000 BTC dropped from 109 on October 12 to 104 on October 16. 

BTC holders distribution


The Flipside: How can the bulls salvage this?

The bulls can still salvage the situation if they regain momentum and break past the $11,600 resistance line. Following that, the IOMAP tells us that there is a moderate-to-strong resistance barrier at $11,850. If the buyers somehow manage to break past these levels, they will push the price to $13,000.

Key price levels to watch

The bears will look to drop the price to the 50-day and 100-day SMA intersection at $10,825. A further drop will see BTC go down to the $10,500 support line. These two walls are strong enough to absorb a large amount of selling pressure.

The bulls will need to first break past the $11,600 obstacle. If they somehow manage to do that, the next notable resistance they face is at $11,850.

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Cryptos feed

Latest Crypto News

Latest Crypto News & Analysis

Editors’ Picks

Bitcoin Price Prediction: Bitcoin facing potential pullback before a final push to $20,000

Bitcoin is back above 60% market dominance and climbed above $13,000 for the first time since June 2019. In the past week alone, BTC's total market capitalization has increased by over $31 billion.

More Bitcoin News

Ripple Price Prediction: XRP cracks a critical resistance level and targets $0.30

XRP has been fighting with an ascending triangle pattern for around one month and seems to have finally cracked the upper boundary. If the digital asset can close above this critical resistance point, bulls will be in full control.

More Ripple News

Vechain Price Prediction: VET hits a robust resistance wall towards $0.016

Vechain, like the rest of the market, seems to be rebounding although still far away from its 2020-high at $0.0229, currently only trading at $0.0123. Over the past week, the digital asset gained around $125 million in market capitalization. 

More Vechain News

Bankers grow concerned as governments around the world rush to digital currencies

The idea of state-backed digital money is gaining traction around the globe. However, neither regulators nor the community clearly understands how it will look like and what are the consequences of this major evolutionary development in the global financial system.

More Cryptocurrencies News


Bitcoin: BTC ready to escape from the range; bulls have $12,000 in mind

Bitcoin has been gaining ground amid positive fundamental developments. The flagship cryptocurrency is ready to break free from its current range and proceed with the recovery towards $12,000. 

Read the weekly forecast