Bitcoin recovery loses steam ahead of $12,000
|- Technical price action continues on Saturday amid a lack of fundamental drivers.
- Buyers give up before testing the critical $1200 area.
Bitcoin extended its daily rebound in the second half of the day but lost its momentum before reaching the critical $1200 handle, which acted as resistance more than a couple of times this week. As of writing, the BTC/USD pair was trading at $11,500 adding 4.6% on a daily basis.
The fact that there were no fundamental drivers that could have impacted the sentiment surrounding major cryptocurrencies on Saturday suggests that the pair's price action is technical in nature. On the daily chart, the 20-day moving average seems to be functioning as dynamic support near the $11,000 mark. Below that level, the 50% Fibonacci retracement level of the June rally at $10,750 could be seen as the next support ahead of the critical psychological level of $10,000.
On the upside, with a daily close above $11,500, the Fibonacci 38.2% retracement of the mentioned uptrend, the pair could again test the static resistance at $12,000. Above that, $12,400, the Fibonacci 23.6% retracement, aligns as the next hurdle.
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