Bitcoin (BTC) has experienced significant declines recently, dropping to the $63,000 range today with a sharp decrease in the past 24 hours. However, a technical analysis published on June 21st has identified certain chart patterns that indicate a potential bullish path for Bitcoin.
An analysis published on TradingView by expert TradingShot revealed that Bitcoin’s weekly chart displayed a cup and handle (C&H) pattern that originated at the peak of the previous bull cycle, signaling a bullish trend for the cryptocurrency.
According to the analyst, the 1D MA200 served as the initial support for the current bull cycle during the week of March 6, 2023 and acted as an excellent “touch and rebound” catalyst. The 1W MA50 has been offering support since the breakout on March 13, 2023 and came closest to the price action during the week of September 11, 2023. However, what appears to be even more significant than the aforementioned patterns is the expected percentage increase after reaching the bottom. As observed, Bitcoin has gone through three stages of expansion since the bottom of the bear cycle in November 2022, ranging from +91% to +99%. Each subsequent stage was approximately 4% to 5% lower than the previous one.
Based on this analysis, it is suggested that the next target for the Bitcoin price could be in the range of $100,000 to $110,000. Assuming the 1D MA200 holds and the handle formation is completed, the next phase of expansion is expected to reach the target zone of $100,000 to $110,000.
On the other hand, an expert recently shared an analysis questioning whether Bitcoin (BTC) is currently in a strong downtrend. The analyst, Ali Martinez, examined the latest movements of the largest cryptocurrency and revealed when BTC’s next peak might occur. Martinez noted that Bitcoin had dropped below the +0.5σ MVRV price range at $67,890, which could potentially trigger a correction towards the mid-range price of $54,930. Additionally, the cryptocurrency expert also predicted that Bitcoin’s next peak could be in December 2024 or October 2025, based on the patterns observed in the previous market cycles.
At the time of writing, the Bitcoin price was valued at $63,772.20, representing a 3.4% decrease in the last 24 hours.
Disclaimer: The author and individuals mentioned in this article express their views and opinions for informational purposes only and do not provide financial, investment, or other advice. Investing or trading cryptocurrencies carries the risk of financial loss.
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