Bitcoin has been on a roll since it broke the $6,000 barrier. After breaching the massive psychological resistance at $10,000, it hasn’t stopped since. Earlier today, Bitcoin did something similar as it broke the $12,000 mark, 4 days after breaching the $10,000 level. However, the ascent from $12,000 to $13,000, although not permanent, happened faster than expected. The coin hit the $13,000 level, a new all-time high for Bitcoin in 2019, within just over 2 hours of breaching $12,000.
As seen in the chart above, the candle at 05:15 UTC on Binance exchange hit $13,000 exactly against the USDT trading pair, before proceeding to slump down to $12,728. The rise of Bitcoin has been nothing short of any hyperbole.
To the Moon or is there a Correction ahead?
The Bitcoin community has been split into two factions. While one believes that Bitcoin will not stop until it breaches new highs, the other faction believes and expects a correction, a cool-down perhaps, before Bitcoin breaches the all-time high.
Bitcoin’s price has been respecting the Fibonacci Retracement levels. However, the same cannot be said for chart patterns. Over a weekly timeframe, Bitcoin has taken a breather at all Fibonacci levels.
The weekly candle on May 6 closed just below the 0.236, with the same seen at 0.382 Fib-level on June 10 and 0.5 Fib-level on June 17, which is evident from the chart above. However, the question is if the same can be said for the 0.618 Fib-level and more importantly, will Bitcoin correct itself from here and prove the latter faction right? If so, where will the price of Bitcoin go after a correction? Typically, it could be towards the $11,300 mark, which is also the 0.5 Fib-level.
A Twitter user, @AviFelman, tweeted a supporting point for the above speculation,
“The order-books are a little insane right now. On Coinbase, a $27M market sell will crash Bitcoin to 10k from 12.5k. A $27M market buy will send Bitcoin to 10k from 19k.”
According to the above charts and Avi Felman, the price of Bitcoin is heading down to $10,000 from $12,500, due to the massive sell/buy orders seen on Coinbase.
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