Bitcoin (BTC) peaks above $ 12,000 today, August 17, 2020; BTC even broke the $ 12,400 mark and, is trading at $ 12,375 as of this writing. The moment long awaited in recent days may be here, but this feat of the bulls is struggling to convince an analyst. A simple indicator will allow us to be fixed, if the breach of $ 12,000 has disrupted the structure of the market, failing which we may be in the presence of a false start yet again.
The 12,000 USD crossed: hurray or oh there?
Michael van de Poppe shared on Cointelegraph his analysis of this breakthrough of 12,000 USD. For van de Poppe, Bitcoin could have done better.
Analyst wonders if the breach of $ 12,000 is a sign of a market disruption or a false move to pocket cash – understand: to finally sow the fruit of the long wait for investors who bought at the level of 9,000 USD?
Van de Poppe is not sure that Bitcoin will easily rise from there to the $ 15,000 level. The US $ 12,000 breakthrough was not accompanied by an increase in volume, which is actually lagging behind.
Bitcoin remains above its 100 and 200 day moving average, however, which would be good news for the current bullish momentum. For van de Poppe, the continuation of the rise with support at the level of 12 000 USD, would confirm this dynamic. The next resistance is at the $ 13,000 level, where a rise from $ 15,000 – $ 17,000 becomes possible.
In the event that the bullish momentum does not continue and that Bitcoin could not find support at the 12,000 USD level, then a bearish scenario should be expected.
Ready for the 80s or will we be entitled to the limit of the 70 classics?
The daily and weekly RSI (14) of Bitcoin are currently slightly above 70, indicating a Bitcoin overbought.
If the bulls have broken the structure of the market in favor of a bull run, these RSIs may very well rise to the 80 level, before the price begins to reverse bearish.
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Nothing is decided yet even if the figures point to a lasting consolidation above 12,000 USD, as well as conquering new highs. The $ 12,000 is not enough – dixit Bitcoin double zero 7.
Litecoin, welcome in the Silver Age