Bitcoin Price Analysis: Potential Break Above $100,000 Signals Bullish Trends
Recent technical analysis suggests that Bitcoin is on track to potentially break above $100,000 due to a falling wedge pattern identified on its price chart. The previous bearish predictions from a head-and-shoulders pattern have been dismissed. Bitcoin’s current price stands at $97,000, showing a slight bullish trend after rebounding from the $90,800 support level.
Technical analysis indicates Bitcoin is likely to surpass $100,000, as recent patterns in its price chart suggest a bullish trend. An analyst observed the formation of a falling wedge on the 4-hour candlestick time frame, which signals potential upward movement, contradicting prior bearish forecasts stemming from a head-and-shoulders formation.
The analysis, shared on TradingView, highlights Bitcoin’s current position within a bullish falling wedge pattern. This view gained momentum following the dismissal of the previously concerning head-and-shoulders pattern that could have driven Bitcoin below the $90,000 threshold.
Confirmation of the falling wedge pattern has been noted since December 17, aligning with Bitcoin’s peak price of $108,135. The formation, characterized by progressively lower highs and lower lows, reinforces its bullish outlook. Price actions in the last 24 hours have brought Bitcoin closer to the upper trendline, establishing the potential for a significant breakout above $100,000.
In recent trading activity, Bitcoin bounced back from a support level of $90,800 on January 13, exhibiting a minor bullish trend. This upward movement follows a period of pressure that previously threatened to drop the price below $90,000. Currently, Bitcoin trades at $97,000, just 3% from the upper trendline of the wedge pattern, suggesting a possible end to the price correction.
Nevertheless, current buying momentum appears to be slowing, with expectations of revived interest potentially emerging by the end of January or early February. The analyst’s insights highlight the complexities of market trends and investor behavior, suggesting a careful observation of price movements moving forward.
The article discusses the potential for Bitcoin to exceed $100,000 as indicated by recent technical analysis. A notable wedge pattern identified on the Bitcoin price chart signals a possible bullish breakout. The previous concerns regarding a head-and-shoulders formation have been addressed by analysts who foresee a more favorable price trajectory based on the falling wedge pattern.
In summary, technical analysis suggests Bitcoin is poised for a breakout above $100,000, driven by the confirmation of a falling wedge pattern. This comes after concerns about a bearish trend were dismissed. However, investor participation has shown signs of slowing, raising questions about the sustainability of the current momentum in the upcoming weeks.
Original Source: www.newsbtc.com
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