Bitcoin technicals: Bulls battling at key anchored VWAP confluence

What happened

Bitcoin is testing support near $80,000, with the price around $80,600 on Tuesday afternoon after rebounding from the $79,000 range. Analysts cite anchored volume-weighted average price levels, which are average prices weighted by trading volume, as a key defense for buyers.

Confirmed

Global impact / market context

If this support holds, it could set up a year-end rally, because buyers are trying to turn a former price ceiling into a floor. A failure could invite more selling and weaken the case for a fourth-quarter advance.

Analyst inference

Bitcoin is caught between a possible brief dip toward $78,000 and a direct launch off current support. That makes the area around $80,000 a decision point for traders, with price moves likely to shape positioning.

Analyst inference

What to watch

1. Bitcoin was trading around $80,600 on Tuesday afternoon, rebounding from the $79,000 range in the prior session, so the price around the $80,000 level is the immediate area to watch. Confirmed
2. Analyst Brian Shannon says a brief undercut toward $78,000 remains possible, followed by a swift recovery above $80,000 that would shake out weak hands, which means forcing impatient sellers out. Proposed
3. Watch whether buyers defend the anchored volume-weighted average price levels. Holding them would support the case for a strong fourth-quarter advance, while losing them would raise the risk of further declines. Analyst inference

Affected assets

• BTC — Bitcoin

Evidence

• seekingalpha.com