Bitcoin’s recent surge to over $70,000 has prompted speculation on its next trajectory, as it has deviated from its past patterns of emerging after halving events. TradingShot, a crypto trading expert, suggests that the next narrative for Bitcoin could target over $300,000, based on historical patterns. The expert highlights the “Cycle of Narrative Destruction,” which has seen unexpected shifts in Bitcoin’s trajectory since the beginning of the 2021 bear cycle. These events challenge conventional expectations and demonstrate Bitcoin’s unpredictable nature.
The analyst also presents the Theory of Diminishing Returns (TODR), which suggests that each cycle should yield lower returns than the previous one. However, if Bitcoin were to break this theory, it would need to achieve a little over a 2,051% return during the current cycle, indicating a potential peak above $330,000.
Despite a correction below $70,000, Bitcoin maintains trading above the critical support zone of $65,000. The sentiment towards the asset remains bullish, with the upcoming halving expected to boost the crypto market. However, there are concerns about potential market exhaustion, as discussions about Bitcoin have not reached the euphoric levels seen when it surpassed $60,000.
At the time of writing, Bitcoin is priced at $68,481, with weekly gains of approximately 10%.
Note: This content should not be considered investment advice.