Analysts Unveil Key Price Levels in Bitcoin Before Reaching All-Time Highs
Bitcoin commenced the new year with a bang, witnessing its price surge to nearly $46,000 today. The sudden rally, which commenced late Monday evening, enabled BTC to swiftly surpass $45,000 and reach $45,913.30, a level that has not been witnessed since April 2022.
Chart analysts project that the next crucial inflection point on the path to a new all-time high lies within the range of $48,000 to $50,000. “Bitcoin is experiencing a breakout in its upward trajectory, following a three-week consolidation pattern that typically indicates increased momentum,” explained Julius de Kempenaer, Senior Technical Analyst at Stockcharts. He further emphasized that Bitcoin must not linger at its newfound level for too long.
Rob Ginsberg of Wolfe Research termed the re-acceleration subsequent to the recent consolidation as “a highly encouraging move.” Ginsberg anticipates an overbought signal and consolidation to form between the price levels of $48,000 and $50,000. De Kempenaer echoed this sentiment, asserting that Bitcoin must sustain the $45,000 mark for the next day or two to affirm the breakout and establish a new support level.
Nonetheless, a few Wall Street analysts harbor reservations. They express concerns over the potential market reaction if an ETF (Exchange-Traded Fund) gets approved, fearing that it may not meet the lofty expectations that have fueled the cryptocurrency market over the past six months. Some even suggest that the market could plummet to $32,000. Despite these concerns, overall investor sentiment remains optimistic about BTC’s long-term prospects. However, de Kempenaer contends that Bitcoin needs to surpass $48,000 first.
*Please note that this article does not constitute investment advice.