PayPal logs its largest Bitcoin volume since May BTC price crash

Bitcoin (BTC) trading volumes on global payment service provider PayPal reached $145.60 million on Oct. 20, just as the benchmark crypto rallied toward its record high near $67,000.The latest spike in volumes came out to be the highest since the May 19 Bitcoin price crash from around $43,500 to as low as $30,000. On the day, some $304 million worth of BTC changed hands, almost double the volumes logged on Oct. 20.Bitcoin PayPal volumes. Source: ByBt.comNonetheless, in both instances, it was unclear if the volumes were due to the increase in purchasing during the Bitcoin price rally or selloffs near the newly-achieved highs. Whatever may be the reason, the PayPal readings reflected a rise in retail activity on Oct. 20, further attested to by a spike in internet queries for the keyword “Bitcoin.”Bitcoin interest on internet peaked on Wednesday. Source: Google TrendsRetail boom?Notably, PayPal allows users to start investing in Bitcoin by putting as little as $1. As a result, the payment service firm has emerged as a viable platform for retail investors, a move seen by the industry as a cue for wider crypto adoption.Interestingly, since PayPal’s push into the crypto sector, the sum count of unique addresses holding at least $1 worth of BTC has surged from 26.83 million on Nov. 20, 2020, to 33.89 million at press time. Meanwhile, on Oct. 20, the count was 34.12 million, an all-time high.BTC addresses with balance greater than $1. Source: CoinMetrics, Messari Alexander Vasiliev, co-founder/chief customer officer of crypto payment service Mercuryo, saw PayPal’s foray into the crypto industry as a sign of retail boom. He expected Bitcoin to end the fourth and final quarter of 2021 in profits as everyday traders look for safety nets against a persistently rising inflation.Related: Bitcoin extends correction as Ethereum sees ‘picture perfect rejection’ at all-time highs”The increased buying pressure from PayPal users and its corresponding impact on the price of Bitcoin may stir a notable up-shoot this fourth quarter and as the year runs to an end,” Vasiliev told Cointelegraph, adding:”The company has millions of customers and a massive buy-up of BTC can effectively push Bitcoin to new highs […] With the ATH at $67k, we may see a worse case price hit of $80,000 by year-end and a best-case scenario of $100,000.”PayPal has around 392 million active users worldwide, but its crypto services are available only in the United States and the United Kingdom. Meanwhile, the company is also eyeing an entry into the decentralized finance (DeFi) sector, signaling expansion outside the Bitcoin sector.The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Every investment and trading move involves risk, you should conduct your own research when making a decision.

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Traders brace for a drop to $58K if Bitcoin price loses the $62K support

Whipsaw price action has returned to the cryptocurrency market after Bitcoin’s (BTC) price lost steam at $67,100 and retracted to the $62,000 level.  An early morning 87% flash crash in the price of BTC at Binance US saw the price briefly touch $10,000 and it may have set the market on edge, but generally, it appears to have been an isolated event. Data from Cointelegraph Markets Pro and TradingView show that bears have briefly taken control of the market with the price now fluctuating between $62,000 to $63,500.BTC/USDT 4-hour chart. Source: TradingViewHere’s a look at what traders and analysts are saying about the recent price action for Bitcoin and what could be next for the top-ranked digital asset. $66,000 needs to become supportThe rapid climb in Bitcoin over the past three weeks pushed the price back to the major resistance level it faced in April, a fact highlighted by independent crypto analyst ‘Rekt Capital.’ As shown below, there was a firm rejection near the $63,500 resistance level.In mid-April 2021, #BTC rejected from the orange resistance areaToday, $BTC is trying to retest this same area but this time as support#Crypto #Bitcoin— Rekt Capital (@rektcapital) October 21, 2021The main difference this time around is that now bulls are attempting to establish this level as the new support zone, which will give BTC a good foundation for a further push higher. For the short term, this has now become a key price level to keep an eye on as the market heads into the final week of October. Q4 has historically been bullishThe breakout to a new all-time high has many across the space debating whether now is a good time to take profits or if it’s time to increase position sizes instead. According to David Lifchitz, managing partner and chief investment officer at ExoAlpha, “In crypto-land, everything is possible,” and he suggested that “a continuous uptrend taking BTC to $80,000 shortly from here, or a mild pullback down to $58,000 or even down to $53,000 before pulling higher toward $80,000 and above” were both well within the realm of possibilities. Historically speaking, “probabilities would favor some pullback after the recent torrid ride,” according to Lifchitz, who highlighted the $64,500 and $58,000 levels as some of the key areas to keep an eye on for the potential to “lighten up positions in case of a pullback and load-up again in the $53K region if the pullback deepens, or reload where the first stops were hit if the pullback doesn’t deepen.”Overall, Lifchitz indicated that the path ahead looks positive for Bitcoin and the wider cryptocurrency market as it enters the final quarter of 2021. Lifchitz said:“The 4th quarter has historically been bullish, so it favors an upside target by year-end. So overall bullish mid-term but maybe some light turbulence ahead.”Related: Bitcoin bulls set to net an $830M profit after Friday’s BTC options expiryBitcoin needs to hold $62,000A final perspective was offered by pseudonymous Twitter user ‘E-Club Trading’, who posted the following chart showing the recent price action and important support and resistance zones. BTC/USD 1-day chart. Source: TwitterThe analyst said:“A bit of profit taking in BTC as it drops below the previous high of $65,000. It needs to hold above $62,000, or we could retest $58,000 in the next few sessions. Glad to be out of the way for the moment.”The overall cryptocurrency market cap now stands at $2.548 trillion and Bitcoin’s dominance rate is 46.5%.The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Every investment and trading move involves risk, you should conduct your own research when making a decision.

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