Bitcoin '6-8 weeks' from breakout as Hang Seng echoes Lehman Brothers dip
Bitcoin (BTC) waited for cues at the Oct. 24 Wall Street open as expectations of a breakout ran high.
Data from Cointelegraph Markets Pro and TradingView tracked a mundane trading day for BTC/USD after the pair hit weekly highs of $19,700 overnight.
Despite what Michaël van de Poppe, CEO and founder of trading firm Eight, called “way worse than expected” manufacturing data from the United States, Bitcoin suffered from declining trajectory on the day.
This led on-chain analytics resource Material Indicators to suspect that resistance would remain in place.
“Sunday BTC failed all attempts to reclaim the 2017 Top,” it summarized about the latest 24 hours’ price action as per its proprietary trading indicators.
Van de Poppe meanwhile put the sell levels to beat at $19,600 and $20,700, adding that the U.S. dollar and U.S. bond yields were “showing some slight weakness.”
“Upwards momentum is fading on bond yields,” popular trading account Game of Trades continued.
It was nonetheless macro markets offering clearer signs of volatility to come on the day, specifically in Asia, where the Hong Kong Hang Seng saw its biggest daily drop since the Lehman Brothers implosion in 2008.
Game of Trades likewise considered the S&P 500 as a potential source of a “massive move” with volatility increasing.
For Bitcoin, volatility could be a long time coming, as a classic indicator delivers signals seen only a handful of times before.
Related: Least volatile ‘Uptober’ ever — 5 things to know in Bitcoin this week
As noted by Filbfilb, co-founder of trading suite Decentrader, Bitcoin’s Bollinger Bands continue to contract on weekly timeframes, reaching rare levels.
“The outcome of each example is obviously a big expansive move,” he told Twitter followers on
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