Bitcoin Price Could Surge to $130,000 Following Cup-and-Handle Pattern
Bitcoin’s price is currently stabilizing between $82,000 and $84,000. A cup-and-handle pattern hints at a significant potential rally, projecting a price target above $130,000. Current market conditions, including institutional outflows, pose challenges to this upward movement, indicating a complex environment for traders and investors.
The Bitcoin cryptocurrency has recently experienced price fluctuations, trading within a tight range of $82,000 to $84,000, amidst cautious market sentiment. As optimism declines for a swift rebound above $90,000, a technical analysis indicates that Bitcoin may be preparing for a substantial rally, as it aligns with a classic cup-and-handle pattern, indicating bullish potential and upcoming upward momentum.
This cup-and-handle pattern has developed over several years, with the rounded bottom phase emerging from 2021 through mid-2024. This period allowed Bitcoin to recover from previous bearish trends. As it surpassed its neckline resistance, the handle formation commenced, culminating in a critical consolidation phase that potentially signals a forthcoming price surge. Following a notable rally that reached an all-time high of $108,786 in January 2025, Bitcoin has faced a subsequent correction of 24%, returning to the neckline resistance.
Recent analyses suggest that the neckline resistance from the cup-and-handle pattern might now act as a supportive level for Bitcoin, presenting a promising opportunity for a rebound. With expectations placed upon an Elliott Wave analysis, predictions indicate a price surge toward $130,000, particularly targeting $139,000 as Bitcoin reinforces its fifth impulse wave formation, despite encountering setbacks from corrective sub-waves.
However, Bitcoin’s underlying fundamentals exhibit short-term unpredictability, lacking the bullish momentum necessary to challenge the $90,000 threshold required for a progressive leap to $130,000. Institutional outflows from Spot Bitcoin ETFs further strain Bitcoin’s potential, creating additional selling pressure that hampers its immediate recovery as it currently trades at $83,500.
In summary, Bitcoin is showing signs of a potential price reversal towards $130,000, supported by a significant cup-and-handle formation. Recent technical analyses highlight this bullish setup while also acknowledging the challenges posed by current market conditions and institutional selling pressures. Observers remain watchful for Bitcoin’s performance as it navigates through these fluctuations, emphasizing the importance of careful monitoring and investor diligence in this dynamic landscape.
Original Source: www.newsbtc.com
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