Is Bitcoin Preparing for an Explosive Breakout?

Fluctuations in the price of bitcoin have set the pace of the crypto market and community sentiment. While some feel pessimistic about the rally slowing, some analysts believe the flagship cryptocurrency is just getting ready to hit higher notes.

Next stop: bitcoin's “parabolic advantage”

crypto analyst and trader Rekt Capital believes that bitcoin (btc) is currently awaiting a period of consolidation. in a twitter.com/rektcapital/status/1783066103951814790″ target=”_blank” rel=”nofollow”>x publicationThe trader highlighted that, during previous “halvings,” btc saw “reaccumulation ranges.”

The analyst shared his chart of bitcoin's phases during the “halving,” which he previously used to explain that btc was in the “last pre-halving pullback” before April 19.

At the time, the analyst indicated that the next was the reaccumulation phase. bitcoin went through one during the previous “halving,” as seen in the chart.

The reaccumulation consisted of two periods of consolidation followed by the “post-halving parabolic rise,” in which btc hit the last cycle’s all-time high (ATH) of $69,000.

<img decoding="async" class="size-large wp-image-604957 aligncenter" src="https://technicalterrence.com/wp-content/uploads/2024/04/Is-Bitcoin-Preparing-for-an-Explosive-Breakout.jpeg" alt="bitcoin, btc” width=”860″ height=”607″ srcset=”https://www.newsbtc.com/wp-content/uploads/2024/04/GL64pF5WIAAVOiO.jpeg?w=1794 1794w, https://www.newsbtc.com/wp-content/uploads/2024/04/GL64pF5WIAAVOiO.jpeg?w=460 460w, https://www.newsbtc.com/wp-content/uploads/2024/04/GL64pF5WIAAVOiO.jpeg?w=768 768w, https://technicalterrence.com/wp-content/uploads/2024/04/Is-Bitcoin-Preparing-for-an-Explosive-Breakout.jpeg 860w, https://www.newsbtc.com/wp-content/uploads/2024/04/GL64pF5WIAAVOiO.jpeg?w=1536 1536w, https://www.newsbtc.com/wp-content/uploads/2024/04/GL64pF5WIAAVOiO.jpeg?w=120 120w, https://www.newsbtc.com/wp-content/uploads/2024/04/GL64pF5WIAAVOiO.jpeg?w=750 750w, https://www.newsbtc.com/wp-content/uploads/2024/04/GL64pF5WIAAVOiO.jpeg?w=1140 1140w” sizes=”(max-width: 860px) 100vw, 860px” loading=”lazy” data-recalc-dims=”1″/>

bitcoin phases during the "Halving". Source: Rekt Capital on x

Rekt Capital highlighted that, during this cycle, the flagship cryptocurrency has already experienced five reaccumulation ranges. Similar to the last cycle, the latest reaccumulation phase appears to have begun during the “Pre-Halving Rally” phase. According to the analyst, this will be followed by the “parabolic rise” if history repeats itself.

Analyst Mikybull appears to share a similar opinion as Rekt Capital, as he highlights that bitcoin's “parabolic rally is charging.” The reaccumulation break is x.com/MikybullCrypto/status/1783050338938839045″ target=”_blank” rel=”nofollow”>established to be “Explosive” and “not many are prepared for this,” he added.

the analyst x.com/MikybullCrypto/status/1782899233529499971″ target=”_blank” rel=”nofollow”>explained that “the RSI on a macro scale is at the same level as in 2017, which was followed by a large rally until reaching the top of the cycle.” Based on this, he believes that the current consolidation comes from institutions preparing “for a big rally until they reach the top of the cycle.”

Analyst Sets Crucial Level for bitcoin Breakout

A day before bitcoin's “halving,” the cryptocurrency faced a correction that destroyed 7% of its price in a few hours. btc went from oscillating between the $64,000-$63,000 price range to trading below the $60,000 support zone.

Since then, the largest cryptocurrency by market capitalization appears to have steadily recovered from the decline. Over the weekend, bitcoin reclaimed the $65,000 support level before testing the $66,000 support level, which it reclaimed on Monday.

In recent days, btc has fluctuated between $66,000 and $67,000. However, it has not been able to successfully test the resistance level established at the $67,000 price range.

According to crypto analyst Bluntz, bitcoin's most recent performance twitter.com/Bluntz_Capital/status/1782965837881917928″ target=”_blank” rel=”nofollow”>suggests that the price will continue to move sideways between the range of $66,000 and $67,000.

However, he also sees btc as “expecting a breakout soon” as the chart shows the formation of a bullish pennant pattern. According to the analyst, “once we break 67k,” the entire market will fly above the latest ATH.

At the time of writing, bitcoin is trading at $66,665, up 7.5% from a week ago and up 66.22% over the past three months.

<img loading="lazy" decoding="async" class="size-large wp-image-604956 aligncenter" src="https://technicalterrence.com/wp-content/uploads/2024/04/Is-Bitcoin-Preparing-for-an-Explosive-Breakout.png" alt="btc, BTCUSDT, bitcoin” width=”860″ height=”410″ srcset=”https://www.newsbtc.com/wp-content/uploads/2024/04/BTCUSDT_2024-04-24_08-16-46.png?w=1077 1077w, https://www.newsbtc.com/wp-content/uploads/2024/04/BTCUSDT_2024-04-24_08-16-46.png?w=460 460w, https://www.newsbtc.com/wp-content/uploads/2024/04/BTCUSDT_2024-04-24_08-16-46.png?w=768 768w, https://technicalterrence.com/wp-content/uploads/2024/04/Is-Bitcoin-Preparing-for-an-Explosive-Breakout.png 860w, https://www.newsbtc.com/wp-content/uploads/2024/04/BTCUSDT_2024-04-24_08-16-46.png?w=750 750w” sizes=”(max-width: 860px) 100vw, 860px” data-recalc-dims=”1″/>

bitcoin's performance in the weekly chart. Source: BTCUSDT on x/pIDPPnDu/" target="_blank">TradingView

Featured image from Unsplash.com, chart from TradingView.com

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