Will Bitcoin price tip back in the bulls favor for a retest of the key multi-year resistance at $12.000?
Recent weeks have been relatively dull in terms of Bitcoin price volatility because a slow uptrend is established after Bitcoin’s price is found above $ 10,000. This recovery then resumed towards $ 11,000 on September 18 but was pushed back by some short-term resistance levels.
Let’s see where the Bitcoin price will go next week!
BTC/USD 1-day chart | Source: TradingView
Bitcoin’s daily chart shows a slow uptrend, currently facing a key resistance level. The $ 11,200 – $ 11,400 zone acted as a support for a considerable amount of time before a drop to $ 10,000 occurred. If the zone between $ 11,200 – $ 11,400 can be broken, a retest of the higher levels will return.
However, as the chart also shows, the level to test around $ 9,600 (even the CME gap) is not fully filled. Traders directed this level, and the price of Bitcoin rose again above the $ 10,000 level.
A new range can now be built with these two. On the downside, the $ 10,000 zone is a significant area of support with the possibility of touching $ 9,600. On the upside, the $ 11,200 – $ 11,400 zone is a key resistance zone to break down.
Is the weekend a time to test $ 11,200?
BTC/USDT 2-hour chart | Source: TradingView
The 2-hour chart shows a clear picture of the current uptrend. Every previous resistance level has flipped, so support continues to climb higher. The key hurdle to take is shown in the big red box is found in the $ 11,200 – $ 11,400 range. If that resistance is broken, $ 12,000 retests will be back in action.
However, if the Bitcoin price loses the $ 10,750 zone, the possibility of a further drop will increasingly be likely to happen with as low as around $ 10,000 as potential support levels.
Total market capitalization crypto 1-week chart | Source: TradingView
As long as the market sustains above $ 250 – $ 255 billion, the market can be considered in a general uptrend. A new higher high has been printed, and the market is currently looking for a new higher high. Breaking $ 400 billion could set some of the fireworks on and propel the value up to $ 500 and possibly $ 700 billion.
BTC/USDT 2-hour chart | Source: TradingView
It looks like we are unlikely to expect a clear breakout of the $ 11.200 – $ 11.400 resistance zone in one go. The author assumes that we will see further range-bound moves after being rejected at the $ 11,200 zone. Key levels to watch out for include maintaining support at $ 10,750 and continuing the rally towards resistance, where rejection will be the first thing we need to watch out for.
If rejection happens, a retest of the downtrend and confirmation of $ 11,000 resistance will ensure further downside momentum.
BTC/USD 2-hour chart | Source: TradingView
In other words, a retest of the $ 11,000 decline will likely propel the downside and uptest the $ 10,600 and $ 10,200 levels. For the bulls, establishing a new annual price high depends heavily on breaking out of multi-year resistance at $ 12,000 to continue the overall uptrend for the rest of the year.
Read more:
- The Discussions Negative Interest Rates Of Bank Of England (BoE) Would Drive Bitcoin Adoption
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