{"id":110981,"date":"2020-11-12T12:51:17","date_gmt":"2020-11-12T09:51:17","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/3-reasons-bitcoin-price-just-hit-16000-for-the-first-time-since-2017\/"},"modified":"2020-11-12T12:51:17","modified_gmt":"2020-11-12T09:51:17","slug":"3-reasons-bitcoin-price-just-hit-16000-for-the-first-time-since-2017","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/3-reasons-bitcoin-price-just-hit-16000-for-the-first-time-since-2017\/","title":{"rendered":"# 3 reasons Bitcoin price just hit $16,000 for the first time since 2017"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a412b26c01e5\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a412b26c01e5\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/3-reasons-bitcoin-price-just-hit-16000-for-the-first-time-since-2017\/#The_recent_dip_reset_the_Bitcoin_derivatives_market\" >The recent dip reset the Bitcoin derivatives market<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/3-reasons-bitcoin-price-just-hit-16000-for-the-first-time-since-2017\/#The_repeated_retest_of_16000_weakened_the_resistance\" >The repeated retest of $16,000 weakened the resistance<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/buradabiliyorum.com\/en\/3-reasons-bitcoin-price-just-hit-16000-for-the-first-time-since-2017\/#The_14900_whale_support_area_held_perfectly\" >The $14,900 whale support area held perfectly<\/a><\/li><\/ul><\/nav><\/div>\n<p>&#8220;<strong># 3 reasons Bitcoin price just hit $16,000 for the first time since 2017 <\/strong>&#8221;<\/p>\n<div data-v-5a136f3a=\"\">The price of Bitcoin (BTC) surged past $16,000 today, Nov. 12, for the first time in nearly three years. The momentum of the dominant cryptocurrency is strengthening due to three key major factors.<\/p>\n<p>The main catalysts behind BTC\u2019s rally are the non-overheated derivatives market, repeated retest of $16,000, and the $14,900 whale supply zone.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2020-11\/3c82acfb-dbc2-4375-bd98-8cefc1d7ba2e.png\" alt=\"\" title=\"\"\/><figcaption style=\"text-align: center;\"><em>The weekly chart of Bitcoin with percentage gains. Source: TradingView.com<\/em><\/figcaption><\/figure>\n<h2><span class=\"ez-toc-section\" id=\"The_recent_dip_reset_the_Bitcoin_derivatives_market\"><\/span>The recent dip reset the Bitcoin derivatives market <span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>On Nov. 10, the price of Bitcoin abruptly declined to as low as $15,072. The market drop occurred merely 24 hours after it saw another major dip to $14,805, which turned traders cautious.<\/p>\n<p>But the drop benefited Bitcoin for two key reasons. First, it allowed whales to take profit on their positions at around the $15,000 support level. Second, it neutralized the futures market by flushing out late buyers or long contract holders. <\/p>\n<p>Resetting the futures market and the funding rate for Bitcoin futures contracts was critical for sustaining the ongoing BTC rally.<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"\/><\/p>\n<p>Futures exchanges in the cryptocurrency market use a mechanism called \u201cfunding\u201d to achieve balance in the market. When the majority of the market is buying Bitcoin, buyers need to incentivize short-sellers. The vice versa is also true: When shorts make up most of the market, sellers need to pay buyers.<\/p>\n<p>Prior to the drop on Nov. 10, the funding rate of BTC was hovering above 0.01%. This indicated that the market was heavily longing or buying Bitcoin, making it overcrowded.<\/p>\n<p>After the minor correction to the $15,000 support level, BTC futures contracts neutralized as funding rates stabilized.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2020-11\/bf70a5e5-d9c0-4f13-98ab-23094860cefe.png\" alt=\"\" title=\"\"\/><figcaption style=\"text-align: center;\"><em>Bitcoin futures market volume stagnates as market stabilizes. Source: Skew.com<\/em><\/figcaption><\/figure>\n<h2><span class=\"ez-toc-section\" id=\"The_repeated_retest_of_16000_weakened_the_resistance\"><\/span>The repeated retest of $16,000 weakened the resistance<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Even until late Nov. 11, the $16,000 area served as a heavy level of resistance for Bitcoin. Traders pinpointed the presence of large sell orders at the resistance, indicating that whales are likely targeting this level.<\/p>\n<p>According to Edward Morra, a Bitcoin trader, there is an abundance of sell orders near $16,000. He <a rel=\"nofollow noopener noreferrer\" target=\"_blank\" href=\"https:\/\/twitter.com\/edwardmorra_btc\/status\/1326582221562654721?s=20\">said<\/a>:<\/p>\n<blockquote><p>\u201cPushed through higher, think it goes for 6 Nov top at least and possibly higher, we have a lot of orders above $16,000 on Bitfinex.\u201d<\/p><\/blockquote>\n<p>Despite the filing of large sell orders at $16,000, Bitcoin pushed through it due to repeated retests throughout the past week, which eventually weakened the resistance.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"The_14900_whale_support_area_held_perfectly\"><\/span>The $14,900 whale support area held perfectly<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Cointelegraph has consistently reported throughout this week that $14,900 has become a whale support area.<\/p>\n<p>Data from Whalemap shows that whale clusters form when high-net-worth individuals buy BTC and do not move it. The price at which those purchases cluster is then considered a support level.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2020-11\/6a928a25-f769-4ee0-8f3f-12adcb4396a3.jpg\" alt=\"\" title=\"\"\/><figcaption style=\"text-align: center;\"><em>Bitcoin whale clusters at $13,600, $13,740, $14,120 and $14,900. Source: Whalemap<\/em><\/figcaption><\/figure>\n<p>Despite extreme market volatility influenced by macro factors such as Pfizer\u2019s vaccine development, Bitcoin comfortably remained above $14,900. The trend has shown that it has become a stable support level for BTC. <\/p>\n<p>Cameron Winklevoss, the billionaire co-founder of major Bitcoin exchange Gemini, emphasized the importance of BTC holding above the $14,900 to $15,000 support range. He <a rel=\"nofollow noopener noreferrer\" target=\"_blank\" href=\"https:\/\/twitter.com\/cameron\/status\/1326589674668793856\">said<\/a>:<\/p>\n<blockquote><p>\u201cBitcoin closed yesterday above $15,000 for the third day in a row. This is the first time in history that Bitcoin has held this price level for 72 hours. A new record.\u201d<\/p><\/blockquote>\n<\/div>\n<p><script async src=\"\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener noreferrer\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener noreferrer\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/3-reasons-bitcoin-price-just-hit-16-000-for-the-first-time-since-2017\" target=\"_blank\" rel=\"noopener noreferrer\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;# 3 reasons Bitcoin price just hit $16,000 for the first time since 2017 &#8221; The price of Bitcoin (BTC) surged past $16,000 today, Nov. 12, for the first time in nearly three years. The momentum of the dominant cryptocurrency is strengthening due to three key major factors. The main catalysts behind BTC\u2019s rally are&#8230;<\/p>\n","protected":false},"author":1,"featured_media":110982,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/s3.cointelegraph.com\/uploads\/2020-11\/63500e62-4d7c-42f1-b62e-89cf307f1c4c.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74862,74937,74939,73785],"class_list":["post-110981","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-bitcoin","tag-bitcoin-price","tag-market-analysis","tag-markets"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/110981","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=110981"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/110981\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/110982"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=110981"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=110981"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=110981"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}