Weekly price analysis – Bitcoin

Bitcoin is prepared to surpass the $12,000 quotation and the BTC – USD pair has a massive support in the zone $10,500 – $10,200.

The current value of Bitcoin is $11,308.70, standing in the red zone, as the majority of the market virtual coins. The most popular virtual currency has had a drop of 4.18% in the past 24 hours. The market cap of it is 190 billion dollars, so we expect no massive growths for the next week. It is possible that Bitcoin will gain some momentum at the end of this week and start increasing.

Essential moments for the past week :
  •      The price has grown a little and trades have been placed above $11,000.
  •      On the BTC – USD four hours graph, it can be noticed a bear trend line whose resistance was placed at $11,000.
  •      The current price has a support level of $10,500.

The virtual currency has a strong support line at $10,000 and according to NewsBTC.com, the minimum recorded value last week was of $9,781. Trades were placed at values higher than Fibonacci retracement level of 23.6% related to the decline from $12,886 to $9,781. From here, further appreciations became possible and the price has pierced the resistance of $11,000.

More important is that the major trend line of bears was cut short when it had a resistance of $11,000 on the BTC – USD four hours graph. It seems like the pair managed to re-enter the bear area after surpassing that resistance.

The next major resistance is positioned at $12,000 and around SMA 100. An enforcing over $12,000 can determine positive fluctuations. Above $12,000 value, the next obstacle for buyers will be the $12,800 one.

New appreciations will be possible once the market will go off red. At the end of this week, we might be seeing some progress for Bitcoin, but nothing too significantly.

It is interesting how stagnant was this coin in the past month, if we compare it to its evolution in December. We will be able to see an increase maybe in the middle of February, when everything will be settled and the market will take back its initial flow.