Bitcoin Poised for Classic Breakout, Eyes Price Target Over $80,000
Summary:
Bitcoin (BTC) appears on the brink of a breakout similar to patterns before 2017 and 2021 peaks. Noted trader, Jelle, highlighted the looming crossover on Bitcoin's Pi Cycle Top indicator, a renowned tool signaling Bitcoin's major price tops. As price coils below this indicator's longer-timeframe trendline, we could see a significant shift akin to 2020. With prior periods of similar consolidation leading to peaks, this, along with ascending triangle trends, suggest potential price targets of over $80,000.
Bitcoin (BTC) appears to be on the cusp of a classic breakout action, similar to the patterns before the 2017 and 2021 record peaks. Jelle, a well-known trader, highlighted on a social media platform that Bitcoin's Pi Cycle Top indicator is on the verge of a key crossover shift.
The Pi Cycle Top, a renowned Bitcoin bull market analysis tool comprising two moving averages, has consistently signalled Bitcoin's macro top price movements. Currently, Jelle points out, Bitcoin's price is closely following the longer-timeframe trendline of the Pi Cycle indicator, the twice multiple of the 350-day moving average, currently standing around $76,000, based on Glassnode's on-chain data analysis.
Jelle commented, “When Bitcoin surpasses the Pi Cycle moving average, all predictions are void. For now, it's stabilizing just below it, mirroring its behavior in 2020”. The Pi Cycle Top essentially tracks the moving average of Bitcoin in relation to its shorter-term 111-day counterpart, with macro peaks appearing when the latter surpasses the former.
Bitcoin price has been stabilizing around its former peak of $69,000 from November 2021 for several weeks now. While these price fluctuations have unsettled some traders, others, including Jelle, view it as normal behavior around such an important psychological benchmark.
Bitcoin exhibited similar behaviors in 2017 and 2020, maintaining its peak prices for 50 days and 2021 days respectively. As Daan Crypto Trades, a fellow trader, explained in his post, “Currently we're at 37 days of stable performance around the prior peak”.
Jelle continues to forecast a short-term Bitcoin price of over $80,000. “The ascending triangle projects a target of $82,000”, he highlighted on a chart representing the current market structure. “I question whether bears can uphold the $71,500 line for much longer. Let's usher in price discovery”.
The information in this article does not serve as investment advice or suggestions. All investments and trading moves come with a level of risk, and it is essential for readers to undertake their own research prior to making any decisions.
Published At
4/12/2024 1:25:00 PM
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