Bitcoin (BTC) reached $12k after being rejected at the threshold two weeks ago. Traders are becoming more optimistic that the crypto asset will hold the key level this time.
Bitcoin has reached $12k for four times since August 2, 2020, but changing the crucial resistance level to support has been a great challenge.
At the current value, Bitcoin has a market capitalization of $221.8 billion, which is around $5 billion less than its peak market capitalization in 2020 that was achieved on August 18.
The cryptocurrency has now gained 3% in the last 24 hours and 1.5% in the last week as a result of a sudden uptick in interest in the general cryptocurrency market, representing modest gains in the short term.
Some factors that are leading traders to become more bullish on Bitcoin in the short to medium term. Factors including the potential catalysts are the declining U.S. dollar, the strength of the $10k support, and Ether’s strong upsurge.
BTC typically remains stagnant throughout September to early November and has done so since 2016. Based on that historical pattern, there is a possibility that BTC ranges between $10k and $14k.
Ark Invest CEO Cathy Wood said,
“We could stay in a new trading range, just at a little bit of a higher level than the recent 6 to 10. Maybe we’re in the $10,000 to $13,000 range. Nonetheless, a breakout.”
Altcoins also notched notable gains as Bitcoin spent a few days consolidating, a few managing triple-digit gains as BTC price broke out to $12k.
According to CoinMarketCap, the overall cryptocurrency market cap now stands at $391.5 billion. Bitcoin’s dominance index currently at 56.6%.
An even more encouraging outcome would involve BTC flipping the $12k -$12.4k range to support. TheNewCrypto believes that BTC would prepare for a strong move to $13.5k before this month ends.