Bitcoin
These Factors Suggest Bitcoin Could Hit $13,900 if Bulls Defend One Key Level
Cole Petersen | Aug 05, 2020 | 23:00
- Bitcoin’s consolidation phase within the lower-$11,000 region has resulted in a powerful push up towards $12,000
- Although the crypto has yet to re-test this level, it does seem as though a movement to this level could be imminent in the near-term
- Multiple analysts are now offering bullish outlooks on BTC in the near-term
- One such trader is noting that a move up towards $13,000 could be brewing in the days and weeks ahead
- There are a plethora of different technical factors that could help this rally come to fruition
Bitcoin and the entire cryptocurrency market are pushing higher as bulls attempt to invalidate the recent signs of weakness.
This has resulted in Bitcoin hitting its resistance within the upper-$11,000 region, where it faced a harsh rejection this past weekend.
How BTC and other digital assets respond to the heavy selling pressure that sits between $11,600 and $12,000 will be illuminating as to its mid-term strength.
For it to post a sustained break above this level and rally even higher, buyers must conduct a support-resistance flip of $12,000.
One analyst is pointing to numerous factors that suggest this may soon take place.
Bitcoin Shows Signs of Strength as Bullish Factors Emerge
At the time of writing, Bitcoin is trading up just under 4% at its current price of $11,600. This is around where its latest uptrend stalled earlier today.
The region between this price and $12,000 is likely resistance, and a clean break above it would open the gates for the benchmark cryptocurrency to see significantly further near-term upside.
If it is unable to break above this level and faces a rejection here, however, it could be prone to suffering a short-term downtrend.
One analyst recently pointed to multiple factors that suggest a rejection here is unlikely, including BTC’s price being able to stay above its range’s equilibrium following last week’s decline.
“Update. Same vibe as the bigger range from May to July. Dumps lead nowhere. Price stays above EQ and leans against VAH. This looks bullish.”
Image Courtesy of Byzantine General. Chart via TradingView.
Analysts Set Their Sights on $13,900 Following Latest Push Higher
While looking towards the strength of Bitcoin’s current market structure, one analyst explained that the benchmark crypto is now well-positioned to see a massive extension of its uptrend.
He even thinks it could soon push as high as $13,900.
“Seeing a $13,900 target for BTC as long as the 0.382 at $10,000 holds,” he said while pointing to the below chart.
Image Courtesy of Tyler Coates. Chart via TradingView.
Because Bitcoin is currently caught within a strong uptrend, it is unlikely that the cryptocurrency will face any macro-rejections in the near-term.
Featured image from Unsplash. Charts from TradingView.
