Bitcoin (BTC) has not too long ago confronted resistance on the $70,000 mark, but market anticipation is rising that the cryptocurrency will keep its bullish momentum, focusing on a report excessive.
Notably, an analyst recognized by the pseudonym Stockmoney Lizards noticed that Bitcoin’s latest market exercise suggests the post-halving correction is nearing its conclusion.
Because the crypto market approaches the top of August, analysts imagine that the second half of September or October ought to provoke the subsequent leg up for Bitcoin, resulting in a significant worth surge with projections focusing on a year-end worth between $100,000 and $110,000.
Parallels with 2020: A blueprint for the 2024 rally
Stockmoney Lizards’ evaluation attracts putting parallels between Bitcoin’s present worth motion in 2024 and its efficiency in 2020. Each durations are marked by vital parabolic rises, adopted by mid-cycle corrections earlier than resuming their upward trajectories.
Within the first parabolic section in 2020, Bitcoin rose from roughly $3,800 in March to over $10,000 by June, setting the stage for an additional rally post-COVID correction.
Equally, in 2024, the primary parabolic section occurred early within the 12 months, driving the worth from beneath $20,000 to almost $70,000 by the summer time earlier than encountering a major correction dubbed ‘Black Monday.’
The mid-cycle correction in 2020, often called the ‘COVID crash,’ was a short however sharp pullback that examined key assist ranges earlier than Bitcoin resumed its bullish pattern. In 2024, the ‘Black Monday’ correction mirrors this sample, albeit at the next worth level, with Bitcoin’s worth pulling again to the $25,000 to $30,000 vary.
Following the mid-cycle correction in 2020, Bitcoin entered its second parabolic section, skyrocketing to its then-all-time excessive of roughly $42,000 by early 2021.
Analysts recommend {that a} comparable sample is anticipated in 2024, with the second parabolic section projected to start in late September or early October, doubtlessly driving the worth to the $100,000 to $110,000 vary by the top of the 12 months.
Key indicators and market sentiment
The alignment of historic patterns with present market dynamics strongly helps a bullish outlook for Bitcoin within the coming months.
Key indicators, such because the resumption of upward momentum following the post-halving correction, coupled with rising institutional curiosity and adoption, assist the case for a major year-end rally.
The present correction section has examined essential assist ranges, notably round $25,000, which has held agency, indicating robust shopping for curiosity. Market observers recommend {that a} breakout above $70,000 may set off the subsequent parabolic transfer, doubtlessly pushing Bitcoin in direction of the $100,000 to $110,000 vary by the top of the 12 months.
This bullish outlook is additional strengthened by a mix of macroeconomic components, together with inflation considerations, the weakening of fiat currencies, and the rising notion of Bitcoin as a digital retailer of worth.
Geopolitical tensions and choices by the Federal Reserve additionally play a major function. The psychological impression of approaching a six-figure worth level may additional ignite speculative curiosity and drive the worth larger.
Bitcoin worth evaluation and the highway forward
As Bitcoin not too long ago rose to $64,234, marking a 5.1% acquire within the final 24 hours with an 8.3% acquire over the previous week, the market is carefully watching whether or not Bitcoin can get away and provoke the subsequent section of its bull run.
With September giving strategy to October, the main target will likely be on Bitcoin’s capability to maintain its restoration and push via the $70,000 resistance stage.
If historic patterns maintain, Bitcoin may very well be getting ready to a significant rally, doubtlessly marking a brand new chapter in its worth historical past. A transfer in direction of $100,000 to $110,000 by the top of 2024 would reaffirm Bitcoin’s standing as a key asset within the international monetary panorama.
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