bitcoin saw a fairly quick correction at the beginning of the week that took it back to the $40,000 level. This correction understandably rattled some investors in the market, who rushed into panic selling to avoid further losses. Once sales began to decline, the price of the cryptocurrency slowly but steadily recovered. Amid this, one crypto analyst has predicted that bitcoin could have more upside.
bitcoin Price Could Retest $69,000
Currently, $69,000 is the holy grail when it comes to price targets for bitcoin because it remains the asset's all-time high price. While the price is only $40,000, it is important to note that it will only take another 70% move from here for the price to reach a new all-time high.
On the topic of recapturing this all-time high price, crypto analyst Weslad turned to TradingView to share your most recent bitcoin analysis. According to Weslad, the price of bitcoin could be preparing for a new test that could take it back to $69,000. This new test is confirmed by the emergence of a cup and handle pattern that suggests a new upside for the price.
As the crypto analyst notes, bitcoin completed a breakout of the neckline of a cup and handle pattern when it surpassed $31,800 and continued to rise. This completed the cup and handle pattern, and “now serves as immediate support and demand,” Weslad explained.
The completion of this pattern is also an important factor for an upcoming rally. This is because the pattern has not yet completed the breakout and has not yet reached its final target. As the chart shared by the analyst shows, the current correction is expected and the final target of this pattern is around $69,000.
<img decoding="async" class="aligncenter size-medium" src="https://technicalterrence.com/wp-content/uploads/2023/12/Analyst-Sees-Bitcoin-Move-To-69000-As-Cup-And-Handle" alt="Tradingview.com bitcoin Price Chart” width=”3266″ height=”1530″ loading=”lazy”/>
btc price sitting at $41,200 | Source: BTCUSD on Tradingview.com
btc price could go in one of two directions
While the possibility of a bitcoin breakout remains high due to the completion of the cup and handle pattern, there is still more than one scenario that could unfold from here. Naturally, the two possible scenarios here are bullish or bearish.
Weslad presents two scenarios; The first is a bullish rally. The analyst explains that this rally, called Scenario A, could occur as a result of sustained support in the Handle target zone. In this case, there is resistance for the btc price between $48,000 and $50,000.
Moving on to the next scenario, Scenario B is that the bulls fail to overcome the expected resistance at $48,000 and $50,000. In such a case, the analyst suggests that bitcoin price could correct further lower, reaching the Neckline at $31,000, which currently acts as a critical support zone.
Featured image from crypto News, chart from Tradingview.com
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