Bitcoin (BTC<\/a>) starts a new week at comfortable highs as traders square off over BTC price action to come.<\/p>\n As macroeconomic uncertainty continues to grow, Bitcoin is cementing its new trading zone above $30,000.<\/p>\n The highest weekly close since early May 2022 is the latest achievement for bulls, and so far, bid support has allowed the market to avoid a deep retracement after last week\u2019s snap 15% gains.<\/p>\n How could the environment change for BTC\/USD this week?<\/p>\n As Bitcoin heads into the October monthly close, would-be volatility catalysts are brewing \u2014 not least thanks to the increasing geopolitical instability in the Middle East.<\/p>\n Adding to the hurdles for risk assets to overcome is the United States Federal Reserve, which will decide on interest rate adjustments on Nov. 1.<\/p>\n Under the hood, Bitcoin is looking better than ever, and the numbers prove it \u2014 network fundamentals are either at or circling all-time highs, continuing a trend in place for much of this year.<\/p>\n As price survives a mass profit-taking event at the hands of speculators, faith in further upside is proving hard to shake \u2014 but for some, the specter of a $20,000 crash is still firmly in play.<\/p>\n Cointelegraph takes a look at these factors and more in the weekly rundown of potential BTC price influencers for the coming days.<\/p>\n After its highest weekly close in 18 months, Bitcoin continues to consolidate near $34,000 as the week begins.<\/p>\n A late-weekend surge took BTC price action to $34,700, helping add to the day\u2019s BTC short liquidations, per data<\/a> from monitoring resource CoinGlass.<\/p>\n Despite this, the last weekly close of October was a calm event compared to a week prior, and with the monthly close now in focus, market participants will be keen to see if \u201cUptober\u201d retains its bullish status.<\/p>\n Eyeing relative strength index (RSI) behavior, popular analyst Matthew Hyland was optimistic on the day.<\/p>\n \u201cCurrent Bitcoin position would eliminate any possibility of bearish divergence forming on the weekly later on off the prior RSI high,\u201d he wrote<\/a> in an X post.<\/p>\n \u201cThis is extremely good for the bullish side and worst possible close for the bearish side.\u201d<\/p><\/blockquote>\n An accompanying chart showed RSI hitting higher highs on weekly timeframes. In a previous post, Hyland said that a weekly close at current levels would constitute a wider breakout.<\/p>\n #Bitcoin<\/a> Weekly closes tommorow <\/p>\n It will potentially confirm a massive breakout of a 6 month+ consolidation <\/p>\n There is also is a chance the weekly RSI will put in a higher high as well and negate any chance at bearish divergence later on pic.twitter.com\/WPnkc1e2rE<\/a><\/p>\n \u2014 Matthew Hyland (@MatthewHyland_) October 28, 2023<\/a><\/p><\/blockquote>\n RSI, which traditionally acts as an overbought signal at a given price when above 70, stood at 69.7 at the time of writing, with BTC\/USD at $34,300, per data from Cointelegraph Markets Pro<\/a> and TradingView<\/a>.<\/p>\n Similarly buoyant about what could happen to BTC price strength this week was popular trader Titan of Crypto.<\/p>\n In one of his latest X updates, he used the Ichimoku cloud to argue that a breakout toward $40,000 was on the cards.<\/p>\n #Bitcoin<\/a> at $40,000 next week? #BTC<\/a> is trying to breakout from both bullish pennant and the inside bar’s range. <\/p>\n Tenkan starts pointing up \u2197\ufe0f. <\/p>\n If the following conditions are matched : \u2014 Titan of Crypto (@Washigorira) October 29, 2023<\/a><\/p><\/blockquote>\n As Cointelegraph reported last week, $40,000 is a popular target for bulls<\/a>, but some remain notably surprised by the strength of the recent rally.<\/p>\n Trader Bluntz argued<\/a> that it was \u201cwild that we broke 32k with conviction held and have now found acceptance above 34k.\u201d<\/p>\n \u201cThe doubt and disbelief is still lingering,\u201d he continued in part of X commentary, suggesting that many retained a bear market mentality.<\/p>\n Despite a week of holding higher levels, Bitcoin is far from convincing everyone that they will endure.<\/p>\n As Cointelegraph continues to report<\/a>, $20,000 is a crash level that is still very much on the radar for some market participants.<\/p>\n The site of both a CME futures gap and the psychologically significant 2017 all-time high, $20,000 has not left traders\u2019 consciousness seven months after BTC\/USD last traded there.<\/p>\n All CME gaps filled in the chart, <\/p>\n Except $20k.$BTC<\/a> pic.twitter.com\/YS1XfIotCs<\/a><\/p>\n \u2014 Poseidon (@CryptoPoseidonn) October 28, 2023<\/a><\/p><\/blockquote>\n Commenting on the prospect of such a move becoming reality, popular trader and analyst Rekt Capital described<\/a> it as a \u201cworst-case scenario.\u201d<\/p>\n The timeframe for this to occur is the five-and-a-half months remaining until the next block subsidy halving event.<\/p>\n \u201cThat would be a -42% drop from here,\u201d he wrote at the weekend. <\/p>\n \u201cHow likely is it that this could happen? Worst-case scenarios typically have a low probability of occurring.\u201d<\/p><\/blockquote>\n Rekt Capital had previously warned of a potential extensive BTC price downside at the hands of a double top pattern for 2023; this was\u00a0subsequently invalidated<\/a> with last week\u2019s move.<\/p>\n Social media was naturally not short of those disregarding a $20,000 comeback altogether, among them CrediBULL Crypto, who described<\/a> the eventuality as \u201cnear impossible.\u201d<\/p>\n Bitcoin, he continued on the day, was in line to \u201cmelt through\u201d the $40,000 mark.<\/p>\n When I first tweeted this 5 months ago, most disagreed with me. <\/p>\n I think many still do.<\/p>\n When we melt through 40k+, most will finally start to agree with me. $BTC<\/a> https:\/\/t.co\/VCChLO6A7Q<\/a> pic.twitter.com\/ulzeiZuTru<\/a><\/p>\n \u2014 CrediBULL Crypto (@CredibleCrypto) October 29, 2023<\/a><\/p><\/blockquote>\n Others highlighted the necessary levels to hold in order to avoid a rapid unwinding of recent progress.<\/p>\n \u201cLooking for Bitcoin to hold this mid range retest and S\/R flip,\u201d analyst Mark Cullen wrote<\/a> alongside a summary chart.<\/p>\n \u201cIf it breaks back below then i think the lower sweep could still be on the cards. Bulls don\u2019t really want to see BTC trade for any time back below 32.5k, but a wick below to take liquidity isn\u2019t off the table.\u201d<\/p><\/blockquote>\n Trader Pentoshi, meanwhile, said that conditions had not changed on longer timeframes.<\/p>\n $BTC<\/a> nothing unchanged<\/p>\n Most important levels to play marked <\/p>\n Closing below purple = likely deviation and invalidation<\/p>\n 40-42k on the table in the weeks ahead pic.twitter.com\/MfmKCQZpO3<\/a><\/p>\n \u2014 Pentoshi euroPeng (@Pentosh1) October 29, 2023<\/a><\/p><\/blockquote>\n With trouble increasing in the Middle East and the impacts of war increasingly being felt outside the region, Bitcoin is seeing its second major conflict in the past two years.<\/p>\n Hodlers<\/a> have a constant potential source of volatility in the background \u2014 something that will spar with U.S. macro data this week.<\/p>\n On Nov. 1, the Fed will meet to decide on whether benchmark interest rates should rise \u2014 an event that can form a short-term volatility<\/a> catalyst in its own right.<\/p>\n Bitcoin has nonetheless dismissed Fed rate decisions in recent months, despite persistent inflation repeatedly beating market expectations.<\/p>\n Per data from CME Group\u2019s FedWatch Tool<\/a>, markets currently expect the Federal Open Market Committee (FOMC) to leave rates unchanged this week.<\/p>\n \u201cWe have a huge week ahead,\u201d financial commentary resource The Kobeissi Letter wrote in part of a summary. <\/p>\n Key Events This Week:<\/p>\n 1. Consumer Confidence data – Tuesday<\/p>\n 2. JOLTs Job data – Wednesday<\/p>\n 3. Fed Rate Decision\/Statement – Wednesday<\/p>\n 4. Initial Jobless Claims – Thursday<\/p>\n 5. October Jobs Report – Friday<\/p>\n 6. ~20% of S&P 500 reports earnings this week<\/p>\n We have a huge week\u2026<\/p>\n \u2014 The Kobeissi Letter (@KobeissiLetter) October 29, 2023<\/a><\/p><\/blockquote>\n Kobeissi touched on what could become a fresh BTC price headwind \u2014 a correction on the S&P 500. Previously correlated with stocks, Bitcoin\u2019s more recent divergence may be put to the test<\/a>.<\/p>\n Over the past month, the S&P 500 has lost 4%.<\/p>\n In commentary last week, however, research firm Santiment not only confirmed the waning stock correlation but also said that this in itself was a sign that the crypto bull market was back.<\/p>\n #Bitcoin<\/a> scratched its way to a new 17-month high again today. Even better, #crypto<\/a> market caps are growing as the #SP500<\/a> declines. This suggests that $BTC<\/a>‘s & #altcoins<\/a>‘ 2-year reliance on #equities<\/a> is gone, a typical recipe for #bullmarket<\/a> conditions. https:\/\/t.co\/XXFph87pj6<\/a> pic.twitter.com\/nVCqyt9t4Z<\/a><\/p>\n \u2014 Santiment (@santimentfeed) October 25, 2023<\/a><\/p><\/blockquote>\n For Bitcoin network fundamentals, there is no reason to pause for thought.<\/p>\n At its latest automated readjustment on Oct. 30, difficulty increased by 2.35% \u2014 hitting another all-time high.<\/p>\n Now at\u00a062.46 trillion<\/a>, difficulty reflects that competition among miners is more intense than ever \u2014 as Cointelegraph reported, it has never been so complex to mine a single BTC.<\/p>\n The hash rate tells an identical story, circling 493 exahashes per second (EH\/s), according to the latest raw data estimates from statistics resource MiningPoolStats<\/a>.<\/p>\n Commenting on the performance of both difficulty and hash rate, itself near record highs, James Van Straten, research and data analyst at crypto insights firm CryptoSlate, described the latter\u2019s progress as a \u201csurge.\u201d<\/p>\n #Bitcoin<\/a> will record another positive adjustment tomorrow, over 2%. <\/p>\n In the last few days, we have seen the hash rate knocking on 500 eh\/s. Only one day have we seen the hash rate break this record.<\/p>\n This will also be the fourth consecutive positive adjustment, which shows the\u2026 pic.twitter.com\/H2IZFzNTfm<\/a><\/p>\n \u2014 James V. Straten (@jimmyvs24) October 29, 2023<\/a><\/p><\/blockquote>\n Jaran Mellerud, a mining analyst at crypto insights firm Arcane Research, predicted that the trend would continue.<\/p>\n \u201cBitcoin\u2019s hashrate will likely continue surging due to the price pump coupled with the fact that miners are trying to outpace each other in upgrading fleets ahead of the halving,\u201d he argued.<\/p>\n \u201cI wouldn\u2019t be surprised if we see 500 EH\/s before the New Year.\u201d<\/p><\/blockquote>\n Waiting in the wings and vying with RSI for upside potential is the classic crypto sentiment gauge, the Crypto Fear & Greed Index<\/a>.<\/p>\nCountdown to the end of \u201cUptober\u201d<\/h2>\n
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– Kijun followsTenkan.
– Daily candle manages to close above the range and stay\u2026 pic.twitter.com\/qZ7PZ5L9n2<\/a><\/p>\n$20,000 BTC price dive \u201cworst-case scenario\u201d<\/h2>\n
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FOMC rate move due as crypto ditches stocks correlation<\/h2>\n
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Bitcoin mining difficulty, hash rate top previous peaks<\/h2>\n
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Greed matches BTC price all-time highs<\/h2>\n
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