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Forget the $ 10,000, Bitcoin’s $ 12,000 outbreak will surprise everyone

June 7, 2020

Bitcoin (BTC) prices rose to over $ 10,000 for a few hours before hitting a strong 10% short sell last week.

Every time this happens, “Crypto Twitter” attracts the fanfare, who is happy that we have reached this psychological milestone. It becomes too predictable, and that is why the eventual escape will surprise everyone.

In order to, Are there any signs that we can use to determine when this could be? Let’s take a look at the diagrams the largest cryptocurrency by market cap, BTC.

Forget the $ 10,000, Bitcoin’s $ 12,000 outbreak will surprise everyoneForget the $ 10,000, Bitcoin’s $ 12,000 outbreak will surprise everyone

Daily performance of the cryptocurrency market

Daily performance of the cryptocurrency market. Source: Coin360.com

Fibonacci monthly goals

BTC / USD 1-month chart

BTC / USD 1-month chart. Source: TradingView

Starting with the monthly view, not much has changed since last week. Bitcoin continues to move around 0.382, setting the next bullish target at 0.5 fibrillation at $ 11,891. Every time Bitcoin enters the $ 10,000 zone, we see a sale of around $ 10,500 that we have to overcome before this becomes a reality.

If you look at the historical monthly price movement, we can see that $ 10,500 was declined for the third time last week. The question I’m thinking now is whether this will happen a fourth time.

Bitcoin’s order book

Daily BTC / USD

BTC / USD daily. Source: Tensorcharts.com

When we look at the Binance order book, we see large customer orders as indicated in the yellow bars. Previously, these were between $ 9,800 and $ 10,500. However, there are no significant orders left for $ 10,500.

This could be an early sign that big sellers are aiming for a new goal. When it comes to higher lead times, the next logical options are $ 11,800 and $ 13,900. based on previous monthly resistance and Fibonacci values.

Weekly ascending channel

    BTC / USD weekly chart

BTC / USD weekly chart. Source: trade view

If we go down weekly, we can see that the price is currently trending in an ascending channel, reflecting the monthly resistance of $ 10,500 as the channel center and the Fibonacci 382 as the channel resistance.

As a disadvantage, a loss of $ 9,000 would open up $ 7,600 in support based on the 236 fib extracted from the monthly payment. On the upside, breaking from $ 11,900 would open the target from $ 618 to $ 13,900This has been an important resistance level on the monthly chart for some time.

Bitcoin is not yet trending in the top half of this relatively new channel, and since support was tested last week, people now want the weekly candle to close over $ 10,500 before being particularly optimistic.

Until this happens, you have to remain neutral.

Bitcoin price 4 hour chart

    BTC / USD pair chart

Chart of the 4-hour BTC / USD pair. Source: TradingView

Turning to Bitcoin’s 4-hour chart, I see 236 and 100% Fibonacci retracement support, which is $ 9.50 and $ 9.50, respectively.

However, Candles have printed higher lows and highs in the past five days, generally indicating a trend is continuingBitcoin is currently still in an upward trend technically. But the loss of 236 that we just tested while writing would change the landscape for the next week.

Bullish scenario

    BTC / USD daily chart

BTC / USD daily chart. Source: TradingView

At the end We have a downtrend on the hourly chart, with the MACD uptrend indicating bullish divergence, which means an uptrend is expected.

Consequently, The bullish scenario of an expansion to the first key resistance of USD 10,500 seems likely in the short term. A breakout from this level would eventually give you $ 12,000 before experiencing strong resistance of $ 13,900.

Bearish scenario

The first sign of problems for Bitcoin would be the loss of $ 9,250. Therefore, $ 9,000 would be the last safe level of support before dropping to levels below $ 8,000.A scenario that I personally think is unlikely.

The views and opinions expressed here are solely those of @official and do not necessarily reflect Cointelegraph’s views. Every step of investment and trading involves risks. You have to do your own research when making a decision.