Bitcoin beats out shorts as BTC price attempts to crack $20.5K

cointelegraph.com:

Bitcoin (BTC) reclaimed and held $20,000 into Oct. 6 as the latest rebound punished short speculators.

Data from Cointelegraph Markets Pro and TradingView showed BTC/USD bouncing from local lows of $19,740 on Bitstamp around the Oct. 5 Wall Street open.

The pair then reversed prior losses, leading early shorters into $20 million in liquidations in 24 hours.

At the time of writing, Bitcoin traded around $20,250, having gone on to reach $20,447 on the day.

Michaël van de Poppe, CEO and founder of trading firm Eight, had flagged the lows as a suitable entry point.

“Correction indeed taking place in which $19.8K-$19.9K is an area to look for longs, but also a retest around $19.6K is an important one for Bitcoin,” he wrote at the time.

Popular trader Il Cap of Crypto meanwhile reiterated his existing thesis over short-term crypto market prospects. BTC/USD should continue rising, he argued, before a decisive rejection sends the market below its recent trading range.

“Expectation is 3-6% move up on the entire market, average,” he predicted.

The U.S. dollar index (DXY), descending from highs though the week, continued to see comparative weakness, helping buoy the mood among risk assets.

The crypto forecast meanwhile tied in with expectations of a comedown for United States equities, with which Bitcoin and crypto remain highly correlated.

Related: Bitcoin repeats key bear market move as $19K becomes key BTC price zone

In a Twitter thread on Oct. 5, Jurrien Timmer, director of global macro at asset manager Fidelity Investments, said that the S&P 500 reading of 3,300 would represent “fair value.”

The Index was up around 2.5% over the week, finishing the Oct. 5 trading session at 3,783.

“A major buy signal won’t happen until the Fed pivots or