As Bitcoin trades above $95,000, a cryptocurrency on-chain analyst has highlighted specific technical indicators suggesting that the digital asset can hit the elusive $100,000.
This outlook aligns with the Thanksgiving holiday season, which has historically been a foundation for Bitcoin to record price breakouts.
To this end, the maiden digital asset has formed a narrowing wedge pattern—a technical setup characterized by converging trendlines that indicate a potential breakout. This pattern places the $99,000 target in sight, according to an analysis by on-chain analyst Ali Martinez in an X post on November 28.
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Bitcoin’s bounce from key Fibonacci retracement levels around the $94,000 zone further supports this optimism. These levels often act as crucial areas of support or resistance, reflecting renewed buying interest and the likelihood of trend continuation.
Bitcoin avoids ‘Thanksgiving massacre’
Leading up to this year’s Thanksgiving, Bitcoin’s bullish run from the post-election rally positioned it to target $100,000.
However, this move appeared invalidated at some point as the maiden cryptocurrency faced the threat of dropping below $90,000. The rebound to $95,000 resistance has helped erase concerns of a repeat of the 2020 ‘Thanksgiving massacre.
Impact of Bitcoin’s past Thanksgiving returns
Meanwhile, another outlook by trading e-learning provider Cryptowizard shared on the same date noted that investors should anticipate a possible rally following Bitcoin’s recent dip.
The platform observed that Thanksgiving week once again delivered a familiar Bitcoin dip, with prices down 8% in 2024—less severe than 2020’s 17% plunge, which preceded a massive 280% rally.
In this case, if Bitcoin replicates its historical performance, the analyst suggested it could target $120,000 as the next high, although no specific timeline was provided.
Should Bitcoin reach this target, it would add approximately $480 billion to its market cap, bringing the total to around $2.35 trillion.
Bitcoin’s price has delivered bullish returns nearly every Thanksgiving since 2010. The first recorded Thanksgiving price in 2010 was a modest $0.28.
In 2024, Bitcoin is trading at about $95,000, reflecting a staggering increase of over 33 million percent. At the same time, at the current valuation, Bitcoin has rallied about 150% since 2023’s Thanksgiving holiday.
Bitcoin’s gains during the past holidays included standout years like 2013 (6,401%) and 2017 (1,086%), while bear markets in 2014, 2018, and 2022 saw declines of 54%, 54%, and 72%, respectively.
Bitcoin price analysis
Bitcoin was trading at $95,500 by press time, reflecting a 3% rally in the last 24 hours. However, the digital asset remains in the red on the weekly timeframe, down 2.6%.
At its current valuation, Bitcoin’s technical setup suggests the asset is potentially on track to hit the $100,000 level in the short term.
Some of the technical indicators supporting this outlook include Bitcoin’s current trading above the 50-day and 200-day simple moving averages. At the same time, the 14-day relative strength index indicates potential room for further growth, as the asset remains below overbought territory.
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