• There was a strong rise in bitcoin price above the $12,000 resistance level against the US Dollar.
• The price broke the last swing high and traded to a new weekly high above $12,700.
• Yesterday’s highlighted crucial contracting triangle was breached with resistance near $11,520 on the hourly chart of the BTC/USD pair (data feed from Kraken).
• The bulls are currently in control and it seems like they are eyeing $13,000 or even $13,200.

Bitcoin price climbed higher sharply above $12,000 and $12,500 against the US Dollar. BTC is currently showing positive signs and it could even test the $13,000 resistance.

Bitcoin Price Analysis

Yesterday, we saw a few positive moves in bitcoin price above the $11,000 level against the US Dollar. The BTC/USD pair traded steadily above the $11,200 pivot level and the 100 hourly simple moving average. Moreover, there were range moves before the price started a strong upward move above the $11,500 resistance level. Once there was a close above the $11,500 level, the climbed more than 12% in the past three sessions.

Moreover, yesterday’s highlighted crucial contracting triangle was breached with resistance near $11,520 on the hourly chart of the BTC/USD pair. It set the tone for a fresh rally above the $12,000 resistance level. The pair even broke the $12,500 resistance and traded close to the $12,800 level. A new weekly high was formed near $12,788 and the price is currently consolidating gains.

An initial support is near the $12,600 level plus the 23.6% Fib retracement level of the recent rally from the $11,810 low to $12,788 high. On the downside, there are many important supports near the $12,500 level. If there are more losses, the $12,250 level may act as a strong support. It coincides with the 50% Fib retracement level of the recent rally from the $11,810 low to $12,788 high.

On the upside, an initial resistance is near the $12,800 level. If there is an upside break, the price is likely to climb further above the $13,000 level. The next major resistance for the bulls is near the $13,200 level.

Looking at the chart, bitcoin price is clearly trading with a strong bullish bias above the $12,200 and $12,500 support levels. Therefore, there are high chances of more upsides above the $13,000 level in the coming sessions. Any decline from the current levels might find a strong support near $12,600 or $12,250.

Technical indicators:

Hourly MACD – The MACD is gaining momentum in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is currently near the extreme overbought levels.

Major Support Levels – $12,600 followed by $12,250.

Major Resistance Levels – $11,500, $11,600 and $12,000.