Bitcoin Hits $11.6K for First Time in a Year as Traders Expect $15K

Saturday 7 August 2020, 7:08 PM AEST - 5 days ago

The price of Bitcoin (BTC) has surpassed $11,600 for the first time in 12 months buoyed by rising market sentiment. As BTC/USD demonstrates strong momentum, investors believe there is little resistance until $15,000.

Cryptocurrency market daily snapshotCryptocurrency market daily snapshot. Source: Coin360

Bitcoin rose to as high as $11,763 on BitMEX in a sudden weekend price move. It also filled the CME futures gap at around $11,630, which typically does not happen during the weekend.

Little resistance between $12,000 and $15,000

Meanwhile, Kyle Davis, the co-founder of Three Arrows Capital, suggests that the weekend price action has not even started. He notes that there is less resistance between $12,000 and $15,000. Davis said:

Whats crazy is the weekend move hasnt even started yet. How much resistance is there at $12-15k?

The weekly chart of Bitcoin shows that historically, there is a lack of price action between $12,000 and $15,000. The last time BTC surpassed $11,600 was in mid-2019 when it surged to a multi-year high of $14,000 before rejecting.

The daily chart of Bitcoin with a major resistance levelThe daily chart of Bitcoin with a major resistance level. Source: TradingView.com

Also worth noting is that the price of Bitcoin soared to an all-time high in 2017 within two weeks after hitting $11,600.

According to Michael van de Poppe, the market structure of Bitcoin would remain compelling if it holds $11,400. Stability above the $11,400 level would show that it has turned into a support level. Van de Poppe said:

Yep, $11,200 broke and flipped support -> $11,500-11,700 test and CME gap closed. One sidenote; EUR/USD is correcting. I do believe Gold, Silver & $BTC will do the same. Crucial threshold? Holding $11,400.

Whats behind the Bitcoin rally?

At the same time, data from Skew shows less than $20 million worth ...

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