Bitcoin price simply secured a new 2020 superior and traders count on the price to rise higher for 3 key factors.

On Oct. twenty one Bitcoin (BTC) price overtook the $13K mark to reach $13,217 after traders took out key resistance levels at $11,900, $12,000, and also $12,500 during the last 48 hours. While generally there are different specialized factors driving the abrupt upsurge, you’ll find three factors which are key buoying the rally.

The 3 catalysts are a favorable technical framework, PayPal enabling cryptocurrency purchases, as well as Bitcoin‘s rising dominance fee.

Earlier now, PayPal officially announced it’s allowing users to buy as well as sell cryptocurrencies, including Bitcoin.

Over the past year, speculations on PayPal’s possible cryptocurrency integration continuously intensified after various reports claimed the business was working on it.

In an official declaration, CEO, the president, and Dan Schulman of PayPal, confirmed the cryptocurrency integration. He wrote:

“We are wanting to work with central banks as well as regulators all over the world to offer our assistance, and also to meaningfully contribute to shaping the role that digital currencies will have fun with in the future of worldwide finance as well as commerce.”

Following PayPal’s expression, the  price  of Bitcoin instantly rose from approximately $12,300 to all the way to $12,900.

Sui Chung, the CEO of CF Benchmarks, a subsidiary of Kraken exchange, told Cointelegraph which bullish sentiment is likely going back to the crypto market. According to Chung:

“Bitcoin passing $13,000 today, a 16 month high, demonstrates that this pattern is just picking up pace. That PayPal, a family name, has gotten a conditional BitLicense is very likely propelling bullish sentiment. Today is actually considerable as a signpost for further selling price appreciation in the future… the place by which mainstream mass media and’ mom and pop’ list investors might soon start to show fascination in the asset, because they did inside late 2017.”
Bitcoin dominance is actually rising In the past week, Bitcoin has outperformed alternative cryptocurrencies, decentralized finance (DeFi) tokens, and also Ethereum.

The dominance of Bitcoin. Source: Josh Olszewicz
Josh Olszewicz, a cryptocurrency technical analyst, stated the dominance of BTC is actually above a critical moving average. Technically, this suggests that Bitcoin might continue to outperform altcoins within the near term. Olszewicz said:

“BTC dominance back over the 200 day moving average for the very first time since May, king corn is actually back.”
BTC shows a bullish higher time frame system Throughout October, traders have pinpointed the favorable specialized framework of Bitcoin on the bigger time frames.

Bitcoin’s weekly chart, for example, has shown a breakout and surpassed the previous area top achieved in August.

BTC/USD weekly chart. BTC topped out at $12,468 on Binance and then proceeded to fall under $10,000. As said before earlier, today’s high volume surge procured the price to the latest 2020 high at $13,217, and that is well above the previous neighborhood top.

In the short term, traders foresee that the industry will cool down following such a reliable rally. Flood, a pseudonymous crypto futures trader, said:

“I feel we’re quite overextended on $BTC for right now. I’d imagine getting a tad of a retrace where by we make an effort to find assistance in the 12.2-12k range. Not saying we cannot run more, but hedged a bit here.”