Bitcoin Price Targets $168K on Cup-and-Handle Pattern Breakout
Bitcoin price is recovering as bulls target a $168,000 price point, influenced by the Global M2 money supply and a cup-and-handle pattern. Despite potential retracement fears, Bitcoin appears resilient after significant liquidations, with positive technical indicators supporting further price rallies.
Bitcoin’s price has shown signs of recovery in recent hours, as bulls confidently set their sights on both the Global M2 money supply and a cup-and-handle pattern visible in the daily chart. While there are analysts who believe Bitcoin (BTC) might drop below the $100,000 mark once more, the bulls appear to be holding strong, even amid concerns stemming from the Israel-Iran conflict.
The Global M2 Money Supply is on the rise and suggests that Bitcoin could potentially reach another all-time high. This metric encapsulates the total money supply, which includes M1 (comprising cash and checking deposits), savings accounts, time deposits, and mutual funds. Historical trends indicate that when the global M2 money supply increases, BTC tends to follow suit roughly 12 weeks later.
Currently, Bitcoin is in the process of forming this cup-and-handle pattern on the daily timeframe. The increasing Global M2, coupled with positive chart formations, appears to be keeping both retail and institutional investors optimistic. Notably, data regarding spot Bitcoin ETF flows indicate significant inflows despite ongoing tensions in the Middle East and anxieties about US tariffs.
Remarkably, Bitcoin’s price managed to recover from a recent stumble, which saw over $1.2 billion in crypto liquidations. This rebound can be traced back to the asset bouncing off the critical 50-day simple moving average (SMA), which has played a crucial role in supporting the bullish sentiment among traders. Additionally, the Relative Strength Index (RSI) is sitting at 53 and is on the rise, hinting at a higher likelihood of BTC rallying, as there is potential room to grow before reaching overbought conditions.
In the daily timeframe, Bitcoin continues its upward trajectory and seems to be on track to complete the cup-and-handle pattern. Should it successfully break above its most recent high, analysts predict BTC could surge to as much as $168,000, benefiting from the cup depth of 50%. Nevertheless, Bitcoin must maintain its position above key resistance levels, notably around $107,200 and the psychologically significant $110,000 mark.
In summary, Bitcoin’s recent price movements are indicating bullish trends, particularly with the formation of a cup-and-handle pattern and the rising Global M2 money supply. Although some analysts predict a potential decline below $100,000, current indicators point towards a possible rally towards $168,000 if certain resistance levels are maintained. The market’s resilience is evident, especially with reported inflows into Bitcoin amidst geopolitical tensions.
Original Source: www.cryptotimes.io
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