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As Bitcoin Suddenly Surges 7.82%, Traders Spark Breakout Calls Above $10,500

Bitcoin bounced back after crashing below $9,000 a day before. The cryptocurrency’s recovery run took its price above $9,500, a crucial resistance level. Meanwhile, traders called the rebound a “re-accumulation” move before bitcoin breaks above $10,500. Bitcoin bounced back on Tuesday after the Federal Reserve announced its plans to purchase corporate bonds to boost the […]



  • Bitcoin bounced back after crashing below $9,000 a day before.
  • The cryptocurrency’s recovery run took its price above $9,500, a crucial resistance level.
  • Meanwhile, traders called the rebound a “re-accumulation” move before bitcoin breaks above $10,500.

Bitcoin bounced back on Tuesday after the Federal Reserve announced its plans to purchase corporate bonds to boost the financial markets through the pandemic.

The benchmark cryptocurrency surged by up to 7.82 percent from its Monday low below $9,000. The move uphill took its price above $9,500, sparking calls towards an extended recovery run towards the $10,000-$10,500 area.

Re-Accumulating Bitcoin

One pseudonymous analyst said earlier Tuesday that Bitcoin’s recovery from below $9,000 is a part of a “re-accumulation” strategy. He concluded that the cryptocurrency would break above $10,500, a resistance level from June 1, 2020, and February 13, 2020, as the uptrend flourishes.

bitcoin, btcusd, xbtusd, btcusdt, cryptocurrency, crypto
Bitcoin price chart on showing its latest rebound from lows below $9,000. Source:, Credible Crypto

The analyst explained that bitcoin is testing 10,500 for the third time since February 2020. Nevertheless, each downside break leads to an accumulation phase that causes Bitcoin to retest the red area, as shown in the chart above.

“We have been sitting under this level and consolidating now for a month,” he added.

Many believe that this sideways consolidation we have been seeing on $BTC for the last month or so is distribution before a larger move back down to 6-7k’s. I personally believe that this is rather re-accumulation before the inevitable break of 10.5k.


The analogy met criticism by other top analysts. One among them argued that each rejection from the $10,000-$10,500 grew stronger, adding that the downside corrections – more or less – pointed towards the absence of buyers.

“A re-accumulation without previous accumulation is weird, especially when the ltf structure has impulses downwards and corrections upwards,” the skeptic noted.

Nevertheless, those in favor of a bullish breakout argued back by saying that macroeconomic catalysts played an essential role in exacerbating Bitcoin’s sell-offs near the red zone. They were visibly pointing to the stock market crash in February and March 2020 that led almost every asset lower.

Bitcoin’s latest attempt to breach above $10,500 came at a time when the U.S. stock market was correcting lower from its overbought levels. The cryptocurrency, which formed an erratic positive correlation with the S&P 500 index, merely tailed the downside.

On late Monday, both Bitcoin and the S&P 500 recovered in tandem after the Fed revealed it would begin buying individual corporate bonds. Futures tied to the U.S. benchmark hinted a rally continuation after the New York opening bell Tuesday. It left Bitcoin with a similar upside bias.

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Bitcoin price chart on showing it trending inside an ascending triangle pattern. Source:

The BTC/USD exchange rate is now trending inside an Ascending Triangle (red area). The pattern typically leads to an upside breakout worth the maximum height of the Triangle. That roughly puts the cryptocurrency’s upside target near $11,800.



Uniswap could be a stumbling block for DeFi decentralization



Unsiwap’s governance vote has been a hot and controversial topic, with questions raised surrounding its centralisation

There are concerns that an Ethereum flash crash may happen when UNI mining is concluded in November. Industry experts have embarked on finding more flaws in addition to the centralisation concerns resulting from Uniswap’s first governance vote.

The last whale account took the proposing side of Dharma. The conclusion of the vote, therefore, means only a handful of addresses with the majority of UNI tokens will have governance power.

It is worth noting that three addresses accounted for nearly all 39.5 million votes in support of the proposal, with only about 700,000 in opposition. The Dharma and Gauntlet proposals’ approval gives them a majority if they agree on any upcoming decision. However, this isn’t the only thing to worry about.

According to Ryan Berckmans from Predictions Global, the governance could be a hindrance to the DeFi sector. Berckmans also predicts that the central control could impact volatility on Uniswap.

Another concern is the conclusion of UNI liquidity mining on November 17. Berckmans points out that about $800 million in Ethereum will be pulled out from the pools when they ultimately expire. This, in turn, could result in a flash crash and even disrupt the whole decentralised finance sector.

In his opinion, the feasible way of keeping the sector stabilised is by perpetuating the UNI farming incentive. He also recommended designating executives to act as governance officers similar to what Ethereum has adopted with Tim Beiko and the new EIP 1559 fee proposal.


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Ethereum 2.0 could be two months away or less



Based on updates from the developers involved in the project, Ethereum 2.0 could be six to eight weeks away from completion

It has been a week since the second testnet (Zinken) was successfully deployed for Ethereum 2.0. The success of the second trial watered down any doubts and concerns from the first Spadina testnet that it was to be a failure.

Developer Ben Edgington shared an update on the Ethereum 2.0 project yesterday, detailing news from the Beacon Chain testing. The update revolved around the publishing of the first release candidate for Phase 0.

The post read, “Your newest news in #Ethereum 2.0 is here! Sorry it’s a bit late, and a bit rushed. I took some time off; it was nice 😎 Back now, refreshed and raring to go 🚀”

Edgington asserted that the deposit contract was now ‘good to go’ and hinted that the Beacon Chain genesis would be available in about six to eight weeks. Of course, this is only an estimate, and there’s no guarantee that things will turn out that way. So far, there hasn’t been an announcement regarding the official launch date.

He also talked about depositing to fake contracts — a possible likelihood in the subsequent stages.

“Many fake deposit contracts and Launchpad front-ends will erupt in the coming days. Look out for the official announcements: do not send Eth to random contracts; this is not DeFi.”

The developer emphasised the need for more client diversity around the network, saying that the collective effort would be crucial in the success of the project. He went on to add that Prysm was still the leading player after the firm developed its own ETH 2.0 client.


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Black Monday Anniversary: Why Bitcoin Investors Should Be Concerned



Today marks the 33rd anniversary of the Black Monday on Wall Street that sent stocks setting historic records for intraday declines. Although this year already had a similar day of its own, there’s reason to believe that another collapse could happen in Bitcoin.

Here are the primary factors behind what could cause the crypto market to drop on the ominous anniversary.

Will Bitcoin Bow To Black Monday Anniversary?

Black Thursday is a day that crypto investors won’t soon forget. In a flash, Bitcoin price plummeted from over $7,000 to under $4,000, after just a few weeks prior trading well above $10,000. The more than 60% fall came to a climax on March 12, 2020.

All markets felt the sting of the panic and mad dash into the safe haven of cash. However, after that day, markets rebounded into a V-shaped recovery. Bitcoin and the S&P 500 set a new high in 2020, but the Dow Jones failed to put in a higher high which could be more foretelling about the overall state of the US economy.


Although asset valuations across major stock indices and crypto assets are back at, or close to 2020 highs, the uncertainty around the election has investors taking a pause. Analysts and economists claim upside is limited in stocks, and various technical indicators point to a long-term top potentially being put in on the stock market.

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Bitcoin following Black Monday price pattern from 1987 | Source: BTCUSD on

Weakness in stocks and the tech bubble finally popping could cause an anniversary selloff on the 33rd year since the Black Monday collapse in 1987. That day the S&P 500 saw a historic collapse, and it could happen again. According to a chart shared on Reddit, the S&P 500 is closely following the same pattern and price action that led up to that day.

And due to the ongoing correlation between crypto and stocks, even Bitcoin is following this pattern.

Crypto’s Continued Correlation With Stocks Could Spell Disaster

Since Black Thursday, the correlation between the top crypto asset and the most popular stock index in the United States, have traded lock and step. Bitcoin spent its entire life up until this year being positioned as an uncorrelated asset, but overall market sentiment matching across stocks and crypto has the two assets classes matching eerily closely.


Because Bitcoin remains so tightly correlated to the S&P 500, any steep selloff in stocks, either today on the dark day’s anniversary or in the near future, the cryptocurrency could also be in trouble again.

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Cryptocurrency's sudden correlation with the S&P 500 stock market index | Source: SPX on

Top crypto fundamental experts claim that Bitcoin will soon decouple from stocks due to the growth of the underlying network. Fundamentally, Bitcoin has never been stronger than before, while stocks are fundamentally at their weakest in years due to the current economic conditions.

If stocks do collapse and Bitcoin withstands, the decoupling could lead to stock market capital flowing into crypto, and further push the asset to never before believed heights.

Featured image from Deposit Photos, charts from


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