Bitcoin’s price recently rose 1%, aiming to reclaim the $120,000 threshold for the first time since mid-August, stirring optimism for new all-time highs.
Key Highlights:
- Bitcoin targets $120,000 as bullish momentum builds with the Wall Street opening.
- Traders are keen on price discovering after several weeks of stability.
- The Relative Strength Index (RSI) improves without necessitating a retest of prior support.
As Bitcoin ({% link https://cointelegraph.com/bitcoin-price %}BTC) approached the $120,000 level during Thursday’s Wall Street opening, earlier bearish sentiments had shifted toward anticipated new all-time highs.
BTC/USD one-hour chart. Source: Cointelegraph/TradingView
Bitcoin Traders Eye Price Discovery
Data from {% link https://subscription.cointelegraph.com/?_gl=1enpnlb_gaMTE3NDE3MjgzMC4xNzE1NjcwODE1_ga_53R24TEEB1*MTc0NDcyNDI2NS40MS4xLjE3NDQ3MjQyNjkuNTYuMC45MTY3MzAwMzI %}Cointelegraph Markets Pro and {% link https://www.tradingview.com/symbols/BTCUSD/?exchange=BITSTAMP %}TradingView indicates BTC/USD rose another 1% for the day.
With no significant pullbacks observed overnight, the pair is poised closer to uncovering new price levels after over six weeks.
Notably, trader and analyzer Rekt Capital noted that any minor consolidation could just test the $117,000 level again. He stated:
“Any dips into blue, if at all necessary, would constitute a post-breakout retest to confirm re-entry into the blue-black range of $117.3k-$120k.”
BTC/USD one-day chart. Source: Rekt Capital/X
Another trader, Jelle, shared his cautious optimism as he believes Bitcoin will breach new highs from the emerging support layers:
“Hold $118k from here, and new all-time highs are next. Uptober is here.”
BTC/USD chart. Source: Jelle/X
BitBull also anticipates an end to the previously observed downtrend, commenting:
“$BTC has now made a higher high on the daily time frame. This is a significant indication that the downtrend is now over.”
All-Time High Only a Step Away
Previously, {% link https://cointelegraph.com/news/bitcoin-hits-119-5k-but-rsi-warns-btc-price-pullback-next %}Cointelegraph shared indicators from the RSI that entered “overbought” territory on shorter timeframes, on the four-hour graph, RSI slightly surpassed its previous high, marking 82.3 – the highest since mid-July.
BTC/USD four-hour chart with RSI data. Source: Cointelegraph/TradingView
Discussing the RSI, Caleb Franzen from Cubic Analytics highlighted potential for new all-time highs due to prior bullish divergences:
“I believe this will happen sooner than later.”
He noted that BTC/USD has crossed its volume-weighted average price (AVWAP), which signifies an average price weighted by volume over a period.
Ultimately, he emphasized:
“Price discovery is now the only missing piece from this bullish scenario.”
BTC/USD one-day chart with AVWAP. Source: Caleb Franzen/X
Disclaimer: This article does not offer financial advice or recommendations. All investments carry risks, and it is advisable to conduct independent research prior to making financial decisions.
