Bitcoin just moved past $12,000 for the first time since the strong rejection around 10 days ago. The leading cryptocurrency now trades for $12,020, though it has not yet flipped the pivotal $12,000 level into resistance.
Analysts are keeping their eyes to the charts as the short-term reaction to $12,000 will dictate Bitcoin’s directionality in the coming days and weeks.
Chart of BTC’s price action over the past day and a half from TradingView.com
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Bitcoin Moves Past $12k, Liquidating Millions
Bitcoin’s surge past $12,000 has resulted in liquidations in the cryptocurrency market.
According to Skew.com data, more than $2.5 million worth of BTC shorts has been liquidated in the past hour alone. This is only for BitMEX’s BTC perpetual futures market.
Millions more have been liquidated over the past 24 hours and on other exchanges like ByBit and OKEx.
The Bitcoin futures market is starting to get leveraged. ByBt reports that the BitMEX funding rate for its Bitcoin market has reached 0.0253% per eight hours. This is not an extremely high level but suggests that longs are relatively leveraged compared to shorts.
The market will need to keep the funding rate in check to assure that the ongoing move higher is one that is sustainable.
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Many Pressures Driving BTC Higher
There are fundamental and technical pressures set to take Bitcoin even higher, analysts have said.
As reported by NewsBTC, Vinny Lingham of Civic and Multicoin Capital recently said the following:
“It looks to me that #Bitcoin is poised for another leg up, with an overshoot above $15k, but then a retrace and heavy consolidation around $14k for a few weeks at least. I doubt this sub-$12k price holds for much longer and $10k represents strong support right now.”
Analysts say that Bitcoin’s monthly close just recently was extremely bullish, with the price of the asset set to push $13,800.
Chart of BTC’s macro price action with analysis by crypto trader Josh Rager (@Josh_rager on Twitter). Chart from TradingView.com
Related Reading: These 3 Trends Suggest Bitcoin Is Poised to Bounce After $1,000 Drop
Featured Image from Shutterstock Price tags: xbtusd, btcusd, btcusdt Charts from TradingView.com Bitcoin Just Ripped Past $12,000: Here’s Why Analysts Are Bullish
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