Bitcoin (BTC) could find a breakout in September based on past chart patterns, with the next major price target being $86,000.
Bitcoin price expected to break through in September
Rekt Capital, a prominent analyst, said that based on chart patterns following previous halvings, Bitcoin price could be headed for an imminent breakout in September.
The analyst wrote to his 493,000 followers in an August 18 post on X:
“Bitcoin tends to breakout in the parabolic phase of the cycle about 160 days after the halving. If history repeats itself, Bitcoin could be about a month away from a breakout, possibly in late September.”
The macroeconomic outlook is also promising. In particular, according to Jamie Coutts, senior cryptocurrency analyst at Real Vision, Bitcoin could make a breakthrough thanks to the growing global M2 money supply.
Coutts wrote in a post to X on August 13:
“Over the past decade, Bitcoin has tended to bottom out months before global M2 hits bottom. It then crashes and goes through a mid-cycle correction, far outpacing liquidity movements.”
The analyst added that the increase in global liquidity due to M2 money supply, combined with the availability of spot Bitcoin exchange-traded funds (ETFs), provides a “perfect environment” for Bitcoin.
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Bitcoin ETF inflows, which turned positive for two consecutive days last week, could also provide additional momentum, according to Farside Investors data, with net inflows of $35.9 million on August 16.
Institutional adoption of Bitcoin ETFs grew by more than 27% last quarter, with 262 new firms investing in spot Bitcoin ETFs.
“Megaphone” implies $86,000.
According to popular cryptocurrency analyst Titan of Crypto, Bitcoin’s next major price point could be around $86,000 if it manages to break out in September.
The analyst wrote in a post to X on August 18:
“Bitcoin Intermediate Target: $86,000. Are you betting that this megaphone pattern will unfold?”
The Megaphone technical chart pattern consists of at least two higher highs and two lower lows. It occurs when the market is very volatile and is marking a macro high or macro low.
However, Bitcoin price has failed to record a daily close above the current downtrend, which could indicate lower lows in the short term, Rekt Capital wrote.
“In reality, Bitcoin will continue its downtrend until the downtrend breaks. However, Bitcoin cannot turn everything around because it only has a daily close higher than the downtrend.”
These “lower lows” could mean a retest of the $54,000 and $50,000 support levels before September.
Meanwhile, Bitcoin faces significant resistance at $59,500. According to Coinglass data, a possible break of this level would see over $800 million of cumulative leveraged short positions liquidated across all exchanges.
If Bitcoin recovers above $59,900, short-term Bitcoin liquidations could exceed $1 billion.
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This article does not contain any investment advice or recommendations. All investment and trading moves involve risk, and readers should conduct their own research when making decisions.