Category: bitcoin signals

Bitcoin (BTC), the leading cryptocurrency, continues its remarkable bullish run, surpassing the $65,000 mark on Monday and inching closer to its all-time high of $69,000. Simultaneously, BTC has achieved a significant milestone against the Euro as economic concerns escalate across Europe. 

BTC Achieves Record Highs Against 14 G20 Currencies

Despite previous skepticism from European authorities, Bitcoin has soared to an all-time high of $60,200 against the official currency of the European Union (EU). This achievement is noteworthy, considering the Euro’s recent depreciation against Bitcoin, as depicted in the chart below.

On February 22, the European Central Bank (ECB) expressed doubts about Bitcoin’s potential as a global decentralized digital currency, citing its “limited use” for legitimate transactions.

The ECB argued that Bitcoin had failed to live up to its initial promise of becoming a widely accepted payment or a reliable investment. It also highlighted the alleged “inconvenience, slowness, and high costs” of Bitcoin transactions.

The ECB further raised concerns about the “history of price manipulation” and fraudulent activities associated with Bitcoin. It attributed these issues to the absence of a “fair value” for the cryptocurrency. However, despite the ECB’s reservations, Bitcoin has experienced a surge in institutional and retail investments. 

The recent approval and success of Bitcoin spot exchange-traded funds (ETFs) have played a pivotal role, attracting inflows of over $7.3 billion to the BTC market within just two months, prompting renewed bullish sentiment in the industry.

Bitcoin’s success extends beyond its achievement against the Euro. The cryptocurrency has reportedly reached all-time highs against the currencies of fourteen G20 countries, including the Japanese Yen, British Pound, Australian Dollar, Canadian Dollar, Chinese Yuan, New Zealand Dollar, Swedish Krona, and South Korean Won. 

Bitcoin Set For Potential Surge To $200k 

Reports of an impending surge in Bitcoin’s value have sparked excitement among investors, as market expert Gert Van Lagen predicts another substantial price increase. 

With BlackRock’s renewed interest in purchasing Bitcoin and a reported scarcity of the cryptocurrency on over-the-counter (OTC) desks, conditions seem favorable for a straight pump to $100,000. Van Lagen emphasizes that with limited resistance to upward movement, the potential for exponential growth appears limitless.

The analyst suggests that continued buying by spot ETFs at a rate of $900 million per day, coupled with a shallow market depth of approximately $20-40 million, can drive significant price surges. 

Van Lagen’s analysis also suggests that based on historical cycles, once the 1.618 Fibonacci extension of the 2018 bear market is breached, Bitcoin peaks within 2-3 months at the 2.272 extension. Currently, the 2.272 extension projects a potential peak of $207,000.

Looking back at previous cycles, notable patterns emerge. 2013 Bitcoin topped within six weeks at the 2.272 extension of the 2011 bear market after breaking the 1.618 extension. 

Similarly 2017, Bitcoin peaked within three months at the 2.272 extension of the 2015 bear market, following a breakthrough of the 1.618 extension. 

Bitcoin has surpassed the 1.618 extension of the 2018 bear market in the current market. Van Lagen anticipates that Bitcoin will likely peak at the 2.272 extension of the 2018 bear market, estimated at around $200,000. 

Currently, the largest cryptocurrency on the market is trading at $65,300, up over 5% in the last 24 hours and over 27% in the last seven days.

Featured image from Shutterstock, chart from TradingView.com

Bitcoin (BTC) has witnessed a remarkable ascent, surpassing the $57,000 mark and recording a year-to-date surge of over 142%. The cryptocurrency’s market capitalization has also surged towards $1.14 billion, reaching levels not seen since December 2021. With the previous all-time high (ATH) of $69,000 within sight, the bullish sentiment surrounding Bitcoin is becoming increasingly evident.

Setting Eyes On $100,000 And $200,000.

Prominent Bitcoin maximalist Max Keiser, known for his optimism even during the harshest bear markets, has suggested the possibility of a “God Candle” scenario given the current market conditions.

To provide further context, this term describes a vast and powerful candlestick pattern on a price chart that indicates a significant and sudden price movement. According to Keiser, if such a pattern were to emerge, it could propel Bitcoin toward the $100,000 price level, shattering its previous record. 

Traders and analysts interpret a “God Candle” as a highly bullish signal, reflecting robust buying pressure and the potential for a trend reversal or continuation. It often signifies a notable shift in market sentiment and catalyzes further price appreciation.

Adding to the optimistic outlook for Bitcoin, crypto analyst Gert van Lagen has projected a target of $200,000 for BTC. Analyzing the 1-week chart, van Lagen notes that Bitcoin’s price has been following a “parabolic trajectory” since November 2022 and is on track to reach $200,000 soon. 

According to the analyst, this parabolic pattern aligns with the previous fifth sub-waves that have historically similarly intersected the blue trendline, as seen in the chart below. 

Notably, van Lagen points out that a breach of the 78.6% Fibonacci retracement level, which Bitcoin has already crossed, tends to trigger an immediate parabolic spike.

Finally, the analyst highlights the rising risk-on sentiment in the stock market and the strong correlation between Bitcoin and the S&P 500 since late 2021 as additional support for this bullish forecast.

Bull Market Cycle For Bitcoin Until 2025?

Renowned market expert Peter Brandt revised his Bitcoin price target in a recent post on social media X (formerly Twitter), raising it from $120,000 to $200,000. 

Brandt attributes this adjustment to Bitcoin’s recent breakthrough above the upper boundary of a 15-month channel, indicating a potential bull market cycle until August or September 2025. However, the analyst says a close below last week’s low of $50,600 would invalidate this interpretation. 

As Brandt points out, the $50,600 price level represents a 1-week resistance level for the largest cryptocurrency on the market, which, in the event of a price correction, as has historically happened whenever a sudden price spike occurs in BTC’s price action, Bitcoin would likely retest the $49,900 support level on its weekly chart. A drop towards $47,000 could be imminent in a more extreme scenario.

However, with Bitcoin currently trading at $56,800, up 4.2% in the last 24 hours, its bullish uptrend seems far from over, potentially leading to a parabolic continuation of its price, as van Lagen and other analysts suggested.

Featured image from Shutterstock, chart from TradingView.com

The latest US inflation data significantly impacted the Bitcoin price and most of the cryptocurrency market, with some exceptions. According to a report from the Labor Department, inflation rose more than expected in January, driven by higher shelter prices.

Furthermore, the consumer price index (CPI), which measures the prices consumers face for goods and services across the economy, saw a 0.3% increase for the month. On a 12-month basis, the CPI stood at 3.1%, slightly lower than December’s 3.4%.

Bitcoin Price Retreats Amid Higher-Than-Expected CPI Figures

According to recent reports, the higher-than-expected CPI figures could pose challenges for the Federal Reserve (Fed), as officials anticipate inflation to recede and reach their 2% annual target. The central bank aims to adjust monetary policy, which has been tight over two decades. 

However, the January increase in inflation may delay the Fed’s plans to ease rates, as it will require more data before initiating a rate-cutting cycle. This outcome disappointed those who expected inflation to decrease and prompted a reassessment of the timing for potential rate adjustments.

On this matter, market intelligence platform Santiment reported that the 3.1% CPI result caused market cap losses in cryptocurrency and equities markets. The Bitcoin price, which had breached the $50,000 mark for the first time in over two years, has fallen below $49,000 in response. 

According to the crypto platform’s analysis, this mild retrace will likely polarize crowd sentiment, potentially leading to significant panic sales. In such a scenario, the justification for dip buying becomes more viable, but sentiment may turn negative. 

Bitcoin’s Market Cycle Patterns

Market expert Crypto Con has identified a striking pattern in Bitcoin’s market cycles, specifically concerning the 20 Week Exponential Moving Average (EMA). Despite mounting concerns regarding inflation data, the analysis suggests that the Bitcoin price behavior tends to follow a consistent six-step pattern, with significant implications for support and potential correction levels.

According to Crypto Con’s analysis, Bitcoin’s price movement in each market cycle has adhered to a similar pattern involving the 20-week EMA. The pattern unfolds as follows: 

First, as seen in the chart below, the Bitcoin price breaks above the moving average, marking the beginning of a new cycle and a notable uptrend. However, after the completion of the initial run, the price retraces and falls below the moving average, signaling a temporary shift in sentiment.

Despite the temporary setback, Bitcoin’s price then breaks above the moving average once more, indicating the start of a true rally and resumption of the upward trend. At this stage, price action creates a false retest of support, narrowly missing the moving average as a crucial support level. This false retest is a common occurrence in Bitcoin’s market cycles.

Following the false retest, Bitcoin embarks on a second run, representing a further advancement in the market cycle. Bitcoin’s price is currently positioned during this phase. 

According to the analysis made by Crypto Con, the full correction in Bitcoin’s price may not need to be as deep, as the moving average currently sits at approximately $40,000. 

Ultimately, the analysis’s suggestion that the Bitcoin price may not dip below the $40,000 level during the ongoing bull run, even in the face of anticipated corrections, is particularly encouraging for bullish investors. 

Bitcoin is trading at 48,600, down 3% in the last 24 hours.

Featured image from Shutterstock, chart from TradingView.com