Bitcoin Price Touches 12K, But Is Quickly Beaten Back

Bitcoin BTC

Bitcoin prices made a brief visit to the price zone above $12,000, but met sharp rejection and a brief pullback at that level, as the number 1 cryptocurrency by market cap struggles to re-establish its foothold on a price level it last exceeded 13 months ago. 

Nonetheless, the BTCUSD pair is up 1.9% this week and currently trades at 11,904.4 as it continues to attempt to breach the 12K price level. Bitcoin price fell from 12,154 to 10,490 within a space of 30 minutes, but has quickly regained some of the lost ground. It now looks set to make another attempt at breaching the 12k mark. 

The prevailing USD strength in the last two days has been a key factor with the latest Bitcoin price moves. BTCUSD fell below 10,000 on Saturday, but quickly found demand at 9,900 and was forced up again on Sunday and today, before the brief 12K retest and pullback. 

Technical Outlook for BTCUSD

The price level to beat for bulls is the 12,000 psychological resistance. A 3% penetration close by the weekly candle above this level provides the price filter required for confirmation. If this price filter is achieved, 13433.89 (61.8% Fibonacci retracement from the December 2017 highs to the November 2018 lows) would be a plausible target, as are the January 2018 low and July 2019 high at 12800 and 13200 respectively. 

Conversely, failure to break the 12,000 mark could potentially create a scenario for another profit-taking round, which could produce a drop towards 11454.81 (50% Fibonacci retracement), 10930.82 (3 August low) and 10465.78 as potential support targets. Further targets to the south potentially lie at 10290.44 and 9939.77. 

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BTCUSD Weekly Chart

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