The bullish trend in the Bitcoin (BTC) cryptocurrency market is gaining momentum as the bulls broke through yet another powerful resistance at $ 12,000. Therefore, BTC/USD should rise to $ 13,000 by August 25.
On August 17, traders bought a large volume of Bitcoin. Therefore BTC/USD increased by 4.7% and reached its maximum since January 2018 – $ 12,450 (Bitstamp data). During the pump, the resistance at $ 12,000 was broken, in addition, the bulls consolidated above this level, which later became a support zone.
As a result of the correction, the value of BTC dropped to $ 12,240 and keep falling. However, Monday’s upward breakout of the contracting triangle signals a continued bullish trend. These graphs indicate that the upward movement is not very fast, so within the next week BTC will rise in price to a maximum of $ 13,000. At the same time, BTC/USD price may fall to $ 11,800.
Over the past month, the share of BTC in the cryptocurrency market decreased by 13% and dropped to the lowest value since 2019 – 60% of the total market capitalization level of digital assets. Bitcoin is losing its dominance as it lags behind competitors in the dynamics of an upward trend. For example, ETH gained 83% in price over the month, while BTC only 33%. However, indicators report an imminent trend change. In particular, TD Sequential indicates the end of the altcoin season, because Bitcoin’s market capitalization has hit a bottom.
At the same time, many analysts believe that the Bitcoin rate will drop to key liquidity zones ($ 11,600 and $ 10,900) before the new pump. Now BTC/USD is under strong pressure, and if the $ 12,000 barrier does not survive, then the price may well fall to $ 10,900. If traders switch their attention from altcoins to BTC, then the market will start a full-fledged pump up to $ 16,000.
The MACD indicator for 4 hours is in the bullish trend zone.
RSI index for 4 hours – above 60 (in the neutral zone).
Major Support Level – $ 12,000.
Major Resistance Level – $ 12,500.
The nearest pivot points are $ 11,708 and $ 12,658.