Bitcoin (BTC) is still aiming to break past the $60,000 resistance during a period of price consolidation, with investors awaiting signs of a bullish breakout.
Amid current market sentiment, Cycles Fan’s analysis in an X post on August 18 pointed out that Bitcoin might be primed for a new high by the end of the year. However, the cryptocurrency must overcome several hurdles to validate this bullish outlook.
The expert emphasized the importance of Bitcoin’s interaction with the 50-week moving average (MA). Last week’s bottom around this critical technical level closely resembles the price action seen in June and July 2021, preceding a significant rally in Bitcoin’s price.
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To confirm an intermediate-term low, the expert suggested that Bitcoin needs to close above the 20-week MA again. Once a bottom is confirmed, it will move higher into November or December.
Notably, November and December have historically been strong months for Bitcoin. Therefore, the next few weeks could be pivotal in determining its trajectory.
Bitcoin’s Q4 bull run
Indeed, Cycles Fan’s analysis of a possible Bitcoin high in December aligns with another view by crypto analyst Stockmoney Lizards. In an X post on August 18, the analyst noted that as the summer of 2024 unfolds, Bitcoin seems to be following a historical trend—experiencing corrections during the warmer months.
However, if history is any guide, these corrections might be laying the groundwork for a robust fourth quarter.
The expert pointed out that Q4 has traditionally been a strong period for Bitcoin, particularly during bull runs. With Bitcoin prices consolidating during the summer months before breaking out in Q4, this trend suggests that Bitcoin could be on the verge of another significant rally as 2024 enters its final quarter.
“Summer is for corrections. The 4th quarter is usually very strong during bull runs,” the expert noted.
If this historical pattern repeats, a possible Q4 breakout could see Bitcoin hit a new all-time high, possibly targeting the $100,000 mark.
Bitcoin price analysis
As of press time, Bitcoin was trading at $59,890, having made modest gains of about 1.3% in the last 24 hours. On the weekly chart, Bitcoin is trading in the red, having lost 1.4%.
As Bitcoin consolidates, bulls must maintain support around the $59,000 mark to avoid significant losses.
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