A few hours ago, Bitcoin’s monthly candle close in August took place. King Coin did what many thought would be difficult; it closed August above $ 11,500, a key resistance level. This means that Bitcoin just hit its second-highest monthly close ever.
Given the importance of monthly charts to BTC’s macro trend, analysts say that the cryptocurrency is poised to see further increases in price from here.
Why will Bitcoin go higher?
According to a recent analysis shared on TradingView by a trader nicknamed “Phi-Deltalytics,” Bitcoin is expected to hit $ 13,000 by September.
Trader notes that there are five key fundamental trends that suggest Bitcoin will make this move, including:
- “Smart money” Bitcoin addresses are “now stable at a bullish level.”
- Both the hash rate and the mining difficulty have been moving higher, which suggests miners are bullish on BTC in the longer run.
- Market sentiment is now “neutral,” which means that the market is now in an overbought state.
- There is a potential short squeeze forming as funding rates remain low, and a liquidity pool has formed above Bitcoin’s current price action.
- The Federal Reserve is poised to print more money, which should bring BTC higher over time.
He also points to technicals that suggest that Bitcoin is more likely to see another move higher in the near future.
Source: TradingView
The trader is not the only one expecting Bitcoin to rise in price in the short-term.
Analyst Josh Rager thinks Bitcoin’s monthly candle close at these levels will trigger a strong move upwards.
In an analysis published prior to the close, Rager notes that the close will allow BTC to extend its rally to $ 13,880.
$ 13,880 is 19% higher than the current price. It was also the highest monthly closing price ever. Other analysts have stated that Bitcoin is managing to close above that level next month, likely to trigger a move to new all-time highs.
Monthly close soon – and the chart looks good as support held and next target on monthly is $13,880+
The high time frames say bullish pic.twitter.com/kXe0VtvjAG
— Josh Rager ? (@Josh_Rager) August 31, 2020
Vinny Lingham, the CEO of Civic and partner at Multicoin Capital, set the target a bit higher. He said BTC is likely to reach $ 15,000 in the near future given that $ 10,000 serves as strong support:
“It looks to me that Bitcoin is poised for another leg up, with an overshoot above $15k, but then a retrace and heavy consolidation around $14k for a few weeks at least. I doubt this sub-$12k price holds for much longer, and $10k represents strong support right now.”
You can see the Bitcoin price here.
Read more:
- Institutions are responding to the price action by closing their shorts they opened via the CME’s Bitcoin futures market
- Zeus Capital Accuses Chainlink Price Of Orchestrating The Most Spectacular Pump In Crypto History