The price fluctuations of Bitcoin have significantly influenced the pace of the cryptocurrency market and the overall sentiment within the community. While some individuals harbor pessimism regarding the deceleration of the rally, certain analysts are optimistic about the potential for the flagship cryptocurrency to surge to new heights.
Bitcoin’s Next Target: Embracing the “Parabolic Upside”
Rekt Capital, a prominent crypto analyst and trader, suggests that Bitcoin (BTC) is currently in a phase of consolidation. In a recent post, the analyst emphasized that during previous “Halving” events, BTC exhibited distinct “Re-Accumulation Ranges.”
By referencing a chart illustrating Bitcoin’s phases during the “Halving,” the analyst hinted at BTC being in the “Last Pre-Halving Retrace” phase prior to April 19.
It was noted that the subsequent phase would entail re-accumulation, a pattern observed during the previous “Halving,” as depicted in the chart.
The re-accumulation phase typically comprises two consolidation periods, leading to the “Post-Halving Parabolic Upside,” where BTC surged to its previous cycle’s all-time high (ATH) of $69,000.
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Rekt Capital highlighted that in the current cycle, Bitcoin has already encountered five re-accumulation ranges. Mirroring the previous cycle, the latest re-accumulation phase appears to have commenced during the “Pre-Halving Rally” phase. If historical patterns repeat, this phase will be succeeded by the anticipated “Parabolic Upside.”
Another analyst, Mikybull, echoes Rekt Capital’s sentiments, suggesting that Bitcoin’s “parabolic rally is loading.” The breakout from the re-accumulation phase is expected to be “explosive,” catching many off guard, according to Mikybull.
Drawing attention to the macro-scale Relative Strength Index (RSI), the analyst noted its similarity to the 2017 levels, which preceded a significant rally to the cycle peak. This observation leads him to believe that the ongoing consolidation phase signifies institutional readiness for a substantial rally towards the cycle peak.
Critical Level Identified for Bitcoin’s Breakout
Just before the “Halving,” Bitcoin experienced a sudden correction, resulting in a 7% price decline within a short timeframe. The cryptocurrency transitioned from trading within the \(64,000-\)63,000 range to dropping below the $60,000 support level.
Since then, Bitcoin has shown signs of gradual recovery from the setback. During the weekend, it reclaimed the \(65,000 support level and subsequently tested the \)66,000 mark, which was successfully regained on Monday.
Recent fluctuations have confined BTC within the \(66,000-\)67,000 range, with attempts to breach the resistance at $67,000 proving unsuccessful.
Bluntz, a crypto analyst, interprets Bitcoin’s recent performance as indicative of continued sideways movement within the \(66,000-\)67,000 range. However, the formation of a bullish pennant pattern on the chart suggests that a breakout is imminent. According to Bluntz, once the $67,000 barrier is breached, the entire market is poised to surge past the previous ATH.
At present, Bitcoin is trading at $66,665, reflecting a 7.5% increase over the past week and a substantial 66.22% rise in the last three months.
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