Bitcoin holds key level for retesting the previous critical $12,000 level after facing rejection below this level earlier. After failing to hold above this level, the asset dropped by just over $2,000 in the upcoming days as we are reading more in the following Bitcoin news.
At the lows, bitcoin traded for over $9800 which marks trading $2,200 below the local highs of the year-to-date highs at $12,500. Bitcoin could make another run at the $12,000 level but analysts are saying that the leading cryptocurrency will be cleared to go higher above this level if it manages to complete the technical accomplishments. Bitcoin will be primed to retest the critical $12,000 resistance if it manages to retake the low of $11,000 as Michael Van De Poppe said. He is a crypto analyst and a trader at the Amsterdam Stock exchange:
“The $10,750 area held and we’re targeting the range high here again. Crucial breaker for bullish continuation is $11,100-11,300. If that breaks, we’ll head towards $12,000.”
His optimism is related to the importance of the lower $11,000 range to Bitcoin over the past few weeks. During August, BTC printed a few corrections from the $12,000 range high but some feared that the support will break. Bitcoin bounced a few times around the $11,000 level and managed to stave off a few strong corrections. Bitcoin reclaimed that region as support and it will confirm the prevailing trend is positive.
As bitcoin holds key level for retesting the $12,000 zone, the coin will have to surge above and hold the level above for a number of daily candle closes. The resistances between $11,000 and $11,200 will not be easy to break by the bulls. Referencing the charts, one analyst specified that Bitcoin will have a hard time breaking past the $11,000 and the $11,200 resistance. The importance of the level can be seen in every chart on the market. there are also fears of a Bitcoin correction as the legacy markets are slowing down.
The S&P500 dropped by 1% during the Friday market session while BTC was unaffected. However, the weakness in legacy markets will not help in Bitcoin’s short-term bull case.