With Bitcoin (BTC) facing resistance at the $70,000 mark, a significant part of market anticipation is that the maiden crypto will maintain the current bullish momentum to target another record high.
Amid the current price movement, crypto trading expert TradingShot observed in a TradingView post on July 29 that Bitcoin is demonstrating strong signs of entering an early parabolic rally. This pattern elevates speculation about Bitcoin’s potential to reach the coveted $100,000 mark.
The expert suggested that Bitcoin’s price movements have historically adhered to a cyclical movement, with distinct phases of accumulation, consolidation, and parabolic growth. The ‘Parabolic Growth Channel’ is a crucial reference point for these cycles.
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Notably, Bitcoin is set to end July by firmly maintaining its position within the historic ‘Parabolic Growth Channel.’ Indeed, this crucial area has traditionally marked the lowest point in Bitcoin’s cycle and has been an excellent buying opportunity after a bear market.
According to TradingShot’s view, Bitcoin’s current behavior aligns with a familiar pattern seen in previous market cycles. For instance, the accumulation phase occurs within the ‘Parabolic Growth Channel’ as investors anticipate the next rally. Based on recent movement, Bitcoin appears to be several months past this accumulation stage, indicating that the asset might be on the verge of significant upward movement.
It’s worth noting that, for the past five months, Bitcoin has experienced sideways trading, a period of price stability and consolidation. This behavior is consistent with the patterns preceding previous parabolic rallies, further fueling optimism for a dramatic price surge.
“Bitcoin has entered into early parabolic rally levels.<…> We are some months past this stage and based on the Time Cycles, the market has just entered the region where the Parabolic Rally can start anytime,” the expert noted.
Bitcoin targeting $100,000
Based on this analysis, the question is whether Bitcoin can reach $100,000 in this anticipated rally. While past performance does not guarantee future results, historical trajectories and current market conditions provide compelling evidence supporting this possibility.
Notably, when looking at Bitcoin’s next price trajectory, a crypto analyst by the pseudonym Titan of Crypto suggested in an X post on July 27 that the asset is poised to hit the $110,000 mark.
According to the expert, Bitcoin seemingly faces a breakout from a “cup and handle” formation. This bullish formation suggests a substantial upward move, with projections indicating a potential target of $110,000.
“Bitcoin $110,000 is programmed. BTC is breaking out from the handle of the cup,” the analyst noted.
The “cup and handle” pattern, a technical analysis signal, has formed over the past several months. The cup shape began forming in early 2021, reached a low in mid-2022, and gradually ascended to complete the cup by mid-2023. The recent handle formation in the last few weeks has seen Bitcoin break out, indicating a possible strong upward trend.
Bitcoin price analysis
At the time of reporting, Bitcoin was trading at $68,730 with daily losses of over 1%. Over the weekly timeframe, BTC is up over 3%.
Meanwhile, with a focus on Bitcoin’s ability to breach the $70,000 resistance, investors should be wary of the support zone at $68,000, as a drop below this mark could lead to a decline to $65,000.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
