BTC/USD (Bitcoin) Extends Recovery Above $12,260 After Mid-Week Plunge

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The price of Bitcoin (BTC/USD) continued to recoup weekly losses on Friday climbing above $12,260 in the late trading hours (US session). Bitcoin plunged to trade at a new weekly low of about $10,320 on Thursday before advancing on Friday to close the session within touching distance of $12,300.

The Pioneer cryptocurrency’s price remains relatively bullish despite the recent pullback and is now on course to full recovery.

BTC/USD (Bitcoin) Fundamentals Overview

From a fundamental perspective, the price of bitcoin is trading at the back of what has been a mixed week for cryptocurrencies. News that Irish cryptocurrency exchange Bitsane is scammed some 240,000 users did not go well in the cryptocurrency industry and that explains the massive decline in the price of bitcoin midweek.

However, from a broader perspective, the cryptocurrency industry as a whole continues to be boosted by a growing list of technology giants that are embracing cryptocurrency payments. This alongside developments in the G-20 summit will help bitcoin to recoup this week’s losses in the coming days.

BTC/USD (Bitcoin) Technical Analysis (the 60-min Chart)

From a technical point of view, the BTC/USD (bitcoin) is on the way up to recovery and this is well demonstrated using the Fibonacci retracements. And given the current price level, the bulls will be targeting short-term profits at around 61.80% Fib level at $12,462 or higher at $12,977 around the 76.40% Fib level.

On the other hand, the bears will hope for another pullback by targeting profits at around the 50% Fib level at $12,055 or lower at 38.20% Fib level at$11,612.

BTC/USD (Bitcoin) Technical Analysis (the Daily Chart)

In the daily chart, the long-term price pattern is clearer with the price of Bitcoin well poised to hit levels last witnessed at the start of 2018. Bullish traders will be looking at the $14,000-$15,000 range for long-term profits in the coming weeks.

On the other hand, the bears will be wary of a potential collapse in the price of bitcoin and could target long-term profits at around $11,450 or lower at $10,267. The RSI shows that the price of bitcoin recently retreated from overbought levels, which suggests that the bears might have short-term control.

In summary, the price of bitcoin has recovered some of the losses from mid-week. This puts it at an interesting position for both the bulls and the bears to pounce.

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