Bitcoin (BTC) remains in the spotlight afterward MassMutual became the latest visitor to allocate $100 million of its portfolio into Bitcoin. This is adding to the impressive buy pressure level at the moment, renewing hopes of Bitcoin breaking $20,000 in Dec.

While a correction occurred in the by week, Bitcoin'due south price bounced higher up the crucial level at $18,600 and is now targeting new all-time highs. However, since the breakout occurred during the weekend, one concern for the bulls is the relatively low volume of the bounce during the weekend.

Bitcoin breaks above $18,600, back into the range

BTC/USD iv-hr nautical chart. Source: TradingView

The 4-hr nautical chart tells everything about the recent move of Bitcoin. Initially, Bitcoin's price fell through the crucial support zone at $18,500 and dropped towards the adjacent support at $17,600.

This support zone held as support, resulting in a bullish divergence. Similarly, the bears couldn't forcefulness a breakdown below $17,600 with buyers stepping in at this level.

From at that place, the crucial resistance was $18,500, which was quickly broken in several hours. This move also saw a substantial rally toward the all-time high resistance zone at $nineteen,500.

Will Bitcoin copy previous movements once again?

BTC/USD 1-day chart. Source: TradingView

This outlook gives an insight into the buildup of ranges afterward an impulse move to the upside. Bitcoin's price has seen several during the yr. The start impulse move occurred before the halving, the 2d one in August, and the last one over the past few months.

Still, every time such an impulse motion occurs, a range is constructed as markets demand to generate strength to continue the momentum. Nix goes upwardly in a directly line, and tests of previous resistance levels have to occur to continue the momentum.

A rising wedge was established with a faux breakout above its recent high in every of the previous range constructions. The likelihood of this happening over again is increasing given the current low-volume weekend move.

From that perspective, a move towards $21,000 is back on the table, which should immediately meet the $19,500 area flip for support. If that doesn't happen, history will echo itself, and Bitcoin most likely falls dorsum into the range. Therefore, the levels to picket are $14,000 and $16,000 for higher timeframe support zones.

CME futures closed at $xviii,115 on Fri

CME Futures 4-hour nautical chart. Source: TradingView

The gaps in the CME futures chart take been the focus of many discussions and remain an of import variable to keep an middle on.

A new CME gap will be created as the recent closing price is $18,115. As such, this futures gap will likely become a significant point for entry or exit, which is why such gaps often get a cocky-fulfilling prophecy and get filled.

In that location are 2 open CME gaps from recent price action. The starting time one didn't fill completely as there's still open up air at $17,015. The second one at $18,115 will exist created due to the weekend'south bullish price activeness.

Crucial levels to watch for volatility

BTC/USDT 4-hour nautical chart. Source: TradingView

The crucial levels are easy to spot, every bit the chart shows. The resistance zone to pause is $xix,400-19,600. This is the all-time high resistance zone and the final one before BTC/USD goes into price discovery.

However, a breakout doesn't necessarily guarantee continuation. The resistance surface area must first flip for support for the rally to continue. Otherwise, a fakeout becomes the likely scenario equally described in this commodity.

On the downside, the $xviii,500-18,600 area has to hold to set the stage for testing new all-time highs. If that fails, the possible retests of $sixteen,00 and even $fourteen,000 remain on the table.

The views and opinions expressed here are solely those of the author and practice not necessarily reflect the views of Cointelegraph. Every investment and trading move involves adventure. You should conduct your own enquiry when making a conclusion.