Bitcoin (BTC) remains stuck in familiar territory, consolidating below the $65,000 threshold, with its next directional move yet to materialize as uncertainty lingers.
However, in a TradingView post on April 25, cryptocurrency trading expert TradingShot posits that Bitcoin is poised for a noteworthy breakout, drawing insights from its historical price actions.
According to the expert, Bitcoin could be preparing for its most aggressive price movement yet, with a staggering target of $300,000. The analysis highlighted Bitcoin’s successful test and retention of the Mayer Multiple (MM) mean, a metric used to assess the current price of BTC relative to its historical moving average.
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The expert noted that this consolidation phase often marks the onset of the most vigorous part of the bull cycle, historically leading to substantial price surges.
Notably, chart indicators reveal a compelling pattern, denoting significant bullish movements following similar consolidation phases in the past. Even in instances where the MM mean was marginally breached, such as in July 2013, the analysis noted that subsequent rebounds were notably robust and impressive.
Delving deeper into the analysis, TradingShot introduced Fibonacci extensions to project potential price trajectories. A clear progression emerges across Bitcoin’s historical cycles by measuring these extensions from the MM mean’s low to the preceding High.
Each cycle peak has surpassed the Fibonacci extension of the prior cycle, suggesting a pattern of exponential growth.
Bitcoin’s 360% growth
Based on this analysis, TradingShot suggested that the upcoming cycle four could follow a similar pattern, potentially extending by two Fibonacci levels beyond the previous cycle. Applying this projection to current trends, a target price of $300,000 emerges, representing a substantial leap from current levels. The target represents a growth of over 360%.
“This is the point where historically the most aggressive part of the Bull Cycle begins, as even in the occasions where the MM Mean broke marginally (July 2013), the rebound that followed was even more impressive and strong.<…> Unrealistic or not, that gives us a $300000 projection,” the expert projected.
Indeed, the possibility of a rally could signal Bitcoin’s post-halving trend, which has historically favored cryptocurrency. However, current indications suggest that Bitcoin has yet to fully experience the impact of this event, with some market participants anticipating further correction.
For example, according to Finbold’s report, analysts project a potential correction for Bitcoin to approximately $40,000 or below, supported by technical indicators signaling a sell-off for the leading cryptocurrency.
Bitcoin price analysis
Bitcoin is encountering formidable resistance at the $65,000 mark, a breach that bears considerable significance for the cryptocurrency. On the other hand, a breach of the $60,000 support level may initiate sustained selling pressure on Bitcoin.
By press time, Bitcoin was trading at $64,300, reflecting a daily gain of nearly 1%. However, on the weekly chart, Bitcoin registers a decline of 0.67%.
Overall, Bitcoin’s next price action remains in the hands of both bears bulls and who will emerge top.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
