Bitcoin Set to Break $35,000 Amidst Weekend Market Consolidation

Market Movements and Key Levels

On November 4th, Bitcoin (BTC) was on the verge of testing the $35,000 mark, continuing a trend of consolidation over the weekend. The largest cryptocurrency managed to hold steady after Wall Street trading hours, demonstrating impressive resilience in the face of market fluctuations.

Support and Resistance: The $34,000 Floor

With many traders eyeing potential upward movements, Bitcoin has stayed comfortably above the $34,000 threshold for over a week. This price level has become a short-term floor, serving as a crucial point for determining future price direction.

• Key Support Level: $34,000 – confirmed as a price floor.
• Potential Upside: Traders speculating a rise towards $35,000 and beyond.

Traders Weigh In

Notable trader Credible Crypto shared insights through his latest video update, suggesting that Bitcoin’s next logical step is above $35,000. His analysis included key levels: $34,314 (low), $34,714 (midrange), and $35,119 (high). This Elliott Wave analysis emphasizes the importance of holding the midrange to maintain upward momentum.

“The key thing here is that we’ve impulsed above the midrange and now want to see if we can hold that as a reclaim.”

Market Dynamics: Volume and Closing Prices

Strong trading volume has been cited as a significant factor aiding Bitcoin’s upward trajectory. Traders like Daan Crypto Trades discussed the potential impact of CME Bitcoin futures’ Nov. 3 closing price, highlighting gaps that could be influential in price moves. In markets characterized by strong trends, the likelihood of price gaps remaining unclosed rises substantially.

Risks and Strategies

In the realm of trading, caution is always advised. Observing the 200-period exponential moving average (EMA) has become essential as it acts as a crucial support line on 1-hour timeframes. However, notable traders have set cautionary thresholds:

• Key Levels to Watch: Losing $34,100 may prompt traders to consider hedging short positions.
• Long Position Strategies: Holding above $33,000 is deemed favorable for current long positions.

Conclusion: Staying Ahead of the Trends

As the weekend unfolds and traders remain vigilant, anticipating how Bitcoin navigates the key levels could provide opportunities for both short- and long-term strategies. The $34,000 floor and potential surge past $35,000 will be closely observed, reminding all traders to carry out due diligence and risk assessment.