Bitcoin (BTC) may be on the verge of a major technical breakout that could come as early as this week, potentially targeting a record high of $135,000.
In this line, analysis by TradingShot indicated that the asset is set to form its first one-day golden cross in seven months, the last occurring on October 27, 2024, which could trigger an immediate surge, the analyst noted in a TradingView post on May 20.
This bullish signal, where the 50-day moving average (MA) crosses above the 200-day MA, has historically preceded strong rallies.
Bitcoin’s next price target
Notably, every one-day golden cross within Bitcoin’s two-and-a-half-year ascending channel has sparked a rapid price increase, with the smallest gain at 33.11%. The analyst projected a move to roughly $135,000 from the current price, aligning with the 0.236 Fibonacci level.
Further strengthening the case, the one-week Moving Average Convergence Divergence (MACD) has already flashed a bullish cross, a signal that preceded the last three golden crosses. These indicators suggest a breakout above Bitcoin’s previous all-time high of $109,000 may be imminent.
After bouncing back strongly from the trade tension correction, Bitcoin is regaining momentum within its rising channel.
Adding to the optimism, crypto analyst MikybullCrypto noted in a May 20 X post that, if confirmed, the golden cross could propel Bitcoin toward $145,000 based on historical patterns.
Currently, Bitcoin is challenging a new all-time high above $110,000 amid renewed investor interest and buying pressure. It has also claimed the sixth-largest asset by market cap position, surpassing Alphabet (NASDAQ: GOOGL).
Meanwhile, capital inflows into Bitcoin exchange-traded funds (ETFs) are accelerating. On May 19, U.S. spot Bitcoin ETFs recorded $667.4 million in net inflows, the highest since May 2, driven by $306 million into the iShares Bitcoin Trust.
Bitcoin price analysis
Bitcoin was trading at $105,275 by press time, up 2.2% over the past 24 hours and 2.6% on the week.
While sentiment remains bullish, Bitcoin’s momentum could face short-term resistance. The 14-day relative strength index (RSI) is 68, approaching overbought territory.
Still, Bitcoin remains firmly above key technical levels. For instance, the 50-day ($92,255) and 200-day ($86,257) simple moving averages sit well below the current price, reinforcing its strong upward trend.
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