Bitrabo Editorial
The price of Bitcoin has always been a source of interest and speculation in the financial world. Investors closely monitor its price movements to make informed decisions. A recent development has captured the attention of seasoned traders and crypto enthusiasts alike.
Mikybull Crypto, a popular trader, believes that a long-term chart feature, if it continues to hold, could lead to a significant upside for Bitcoin (BTC). His latest analysis highlighted encouraging signs on the BTC/USD weekly chart that suggest a potential surge in value of 60%. If this happens, the price of Bitcoin will skyrocket to approximately $40,000.
The question on everyone’s mind is whether Bitcoin will indeed experience this substantial upside, and what factors may contribute to such a surge.
Long-Term Chart Signals Potential Upside for Bitcoin Price
Bitcoin is still confined within a narrow trading range that it entered nearly three months ago. Traders and investors face a challenge in predicting short-term price targets due to the cryptocurrency’s day-to-day performance, failing to establish a clear trend, with $30,000 as a formidable resistance level hanging overhead.
Nonetheless, Mikybull Crypto is optimistic. He identifies intriguing price action on the higher time frames that could signify a significant move in the near future. His analysis reveals the completion and retesting of an inverse head-and-shoulders pattern for BTC/USD in the weekly chart. Unlike the standard head-and-shoulders pattern, which typically indicates a solidified resistance followed by a downward trend, the inverse head-and-shoulders pattern is a bullish counterpart. This suggests that Bitcoin may be on the verge of a positive breakout.
Mikybull Crypto wrote, “Bitcoin is flashing a text book inverse head and shoulders on the weekly TF. Price is currently retesting the Neckline after the breakout. As taught, if the range between the head and neckline is usually the sprint, we are anticipating another 60% rally on BTC.”
Bitcoin Price Faces Speculation on $40K Target Amid Halving Predictions
The highly anticipated $40,000 mark has become a popular mark for many traders, as it symbolizes a potential breakthrough for the leading cryptocurrency. Adding to the ongoing discussions, renowned trader and analyst Credible Crypto recently made a prediction suggesting that Bitcoin may enter a sideways phase, ranging from $20,000 to $40,000, for around 12 months following the upcoming halving event in April 2024.
Bitcoin halving occurs approximately every four years and is a significant event in the cryptocurrency’s ecosystem. It results in a reduction in the block rewards earned by miners, leading to a decreased rate at which new Bitcoins are generated. Historically, it has been associated with bullish trends as the reduced supply of new coins drives up demand and subsequently impacts the price.