This article is also available in Spanish.
One crypto analyst has projected a significant breakout to the upside for bitcoin, drawing parallels with similar breakouts in traditional assets in tune with Gold and the S&P500. According to a technical analysis of the current price action, bitcoin is developing a cup and handle pattern, which could send it rising towards bullish price targets above $230,000.
bitcoin Cup and Handle Cascade
According to a technical analysis, bitcoin appears to be forming a textbook cup and handle pattern on the larger time frame, which is a bullish continuation pattern that often leads to a major price rally. This formation usually indicates a period of consolidation followed by a breakout to the upside, and if the pattern fully develops, bitcoin could reach new heights.
Related reading
In a recent analysis x.com/GertvanLagen/status/1848470671946358797″ rel=”nofollow”>shared on On the social media platform asa, which ultimately led to a full-scale bullish rally in 2023. This breakout pushed gold to new highs that have continued as of this writing, with gold now trading above $2,730 in its history.
Similarly, the analyst highlighted a similar cup-and-handle pattern in the SP500, which eventually led to a rally that began in late 2023 and culminated in new peaks for the index.
Van Lagen emphasized that bitcoin has been following a similar pattern since the 2022 bear market. The “cup” part of the formation was completed when bitcoin hit its all-time high in March. Now, bitcoin is in the process of forming the “handle” part of the pattern, as the cryptocurrency has done. has not yet reached its all-time high again during the last seven months.
If the handle formation concludes and a breakout occurs, bitcoin could be on the verge of a strong rally, much like what gold and the S&P 500 experienced during their respective runs.
btc at $230,000
According to van Lagen, bitcoin is “poised to follow the structural path of SP500 and Gold.” In terms of price target, he predicted a target of $230,000 for bitcoin.
At the time of writing, bitcoin is trading at $67,350. Reaching the $230,000 price level would require a 197% price increase from the current price.
Related reading
Interestingly, van Lagen's forecast is just one of several bullish outlooks that have resurfaced as bitcoin price has shown positive momentum. from the second week of October. bitcoin is up approximately 13.5% from $59,500 on October 10, sparking a return of bullish sentiment.
According to a report, this has caused an increase in bitcoin accumulation by long-term holders.bitcoin-accumulation-2-9-million-btc-preparation/” rel=”nofollow”>that now remain close 2.9 million btc. Another analyst noted that bitcoin is on track to double its value and reach $130,000 in January 2025
Featured image created with Dall.E, chart from Tradingview.com
