$12K Bitcoin Price in Sight as Retail, Institutional Traders Turn 'Greedy'

After recovering 6.3% from a drop to $11,200 on Aug. 11, Bitcoin price appears to be gearing up for a third run on the $12K mark.

The Crypto Fear & Greed Index currently shows that sentiment among investors is high as the indicator reads 'Extreme Greed'.

This is a sharp contrast from July when the indicator read "Fear" and crypto investors were afraid Bitcoin price would drop back into the low $10K range.

The daily timeframe shows Bitcoin continuing to make higher lows as the price consolidates into a tighter range between $11,200-$11,800.

"A retest of the $12,000 level is in sight as the formation of a bull flag crystallizes. Stack believes that the current market structure will continue to remain intact unless the $10,500 level is breached. Given the current economic backdrop coupled with the weakening dollar, we should continue to see bullish momentum moving forward for Bitcoin."

The firm also pointed to Bitcoin's growing correlation with gold, noting that BTC price corrected 2.7% as gold retraced by 9% earlier this week.

According to the researchers, a unique characteristic of Bitcoin is that the asset is somewhat shielded from wider market volatility as its correlation between gold and equities shifts depending on the price action with each market.

"Despite the recent spike in BTC-Gold correlation touching March highs, the record decline in gold this week has not impacted Bitcoin price significantly, as the digital asset catches back on to the equity-like relationship to maintain its upward price trajectory."

Ether price rose by 7.88% to a new 2020 high at $430 and XRP price rose by 4.04%.Chainlink also reached a new all-time high after rallying 16% to $18.37.

Bitcoin's dominance index currently at 59%.Keep track of top crypto markets in real time here.