The Bitcoin price broke above USD 11,400 for the third time in three days, breaking a critical resistance level. Today, the BTC price reached USD 11,444, but quickly turned around again to the USD 11,250 range.
Surprisingly, in the last hour the price has again risen above the USD 11,400 mark and some traders believe that repeated resistance tests could increase the chances of a breakout.
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Kelvin Koh of the Spartan Group said that when BTC gets above $11,400, it is likely to reach $12,000. Meanwhile, analyst and network trader Willy Woo said that Bitcoin’s run above $11,000 could put BTC at the start of a “major upside.
After rising to USD 11,470 on BitMEX, the Bitcoin price fell to around USD 11,260. Currently, the resistance range from USD 11,200 to USD 11,400 is apparently causing sellers to defend this level and avoid a major breakout.
Investors are optimistic about the possibility of a bullish run by Bitcoin
On June 27, Bitcoin chain analyst and trader Willy Woo revealed a new pricing model for BTC. This model suggests that a new bull run is in the making for the best cryptomone currency. At the time, Woo said:
“This is a new model I’m working on, it takes the beginning of exponential bull runs. 1) Bitcoin was preparing for a bull run until the white swan of the COVID ruined the party. 2) This model suggests that we are close to another bullish run. Maybe in another month.
It’s been a month since the model was unveiled and the price of Bitcoin has risen from $9,100 to over $11,000. After presenting this model, Woo said he is “relatively confident” that the main bullish phase is beginning.
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The analyst broke down several data points in a chain, including the Bitcoin mempool and the Relative Strength Index (RSI), to assess market cycles. Woo said that the RSI chain, specifically, suggests that the main bull market could start during the fourth quarter.
Woo explained that:
“With the current 11K breakout, I’m relatively confident that the model of the last few months is working in a tailspin, we are at the beginning of the ‘main bull phase’… the 365-day RSI chain shows the compression in the initial phase of the bull cycle about to end, I expect the expansion of the RSI that typifies the main bull run season starting in Q4 2020 to 2021.
Similarly, Koh said that if Bitcoin’s price continues to rise above $11,400, it will maintain its momentum. But if BTC continues to rebound, the investor emphasized that the altcoins could consolidate. Koh said:
“If BTC breaks the resistance at USD 11.4K, we will break USD 12K in a very short time. It will take the breath away from the altcoins again in the short term.