Bitcoin (BTC) is sending signals that it could explode to the $100,000-$150,000 range by Q1 2025.
BTC Price Classic Patterns Hint at a Big Breakout
Bitcoin’s recent price action shows a confluence of technical indicators that coincide with a breakout. The most notable pattern forming on the chart is the “cup and handle,” a classic technical formation that suggests bullish continuation.
This pattern is characterized by a rounded bottom (cup) and a subsequent consolidation phase (handle). The formation of the handle indicates a period of consolidation, often preceding a major bullish breakout.
For Bitcoin, the cup began forming after peaking in late 2021, and a handle is currently forming as the cryptocurrency fluctuates below the $65,000-$69,000 resistance levels.
BTC/USD Weekly Price Chart. Source: Elya
The cup and handle pattern is resolved when the price breaks through the neckline resistance line and, according to technical rules, rises the maximum distance between the neckline and the lowest point of the cup.
For Bitcoin, the distance between the bottom of the cup (around $15,000) and the resistance line at the edge (around $65,000) is around $50,000.
Independent analyst Elsa projects this distance upwards from the breakout point, suggesting a target range for BTC of $110,000-$130,000 in early 2025.
Bitcoin is a ‘time bomb’ – analyst
A series of indicators highlighted by anonymous analyst Nestey point to an imminent move that will add weight to the bullish trend.
For example, Bitcoin’s weekly Bollinger Band Width (BBW) indicator has been shrinking since June. Technically, a shrinking BBW suggests low volatility in the market, which historically has preceded major price moves.
Meanwhile, momentum oscillators such as the Stochastic RSI and the Relative Strength Index (RSI) indicate overheated selling conditions.
source: Nestay
Nestey further highlights the popular Crypto Fear & Greed Index in the “Fear” zone. Historically, periods of extreme fear have preceded some of Bitcoin’s most explosive bullish moves, signaling periods of oversold selling and waning selling pressure.
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The macroeconomic backdrop adds further weight to this bullish setup: rising global liquidity indices suggest capital inflows into riskier assets such as Bitcoin.
This surge in liquidity combined with the surge in Bitcoin’s price – which Nestay describes as a “time bomb” – creates a scenario where a potential breakout could occur, especially as the market heads into October and November.
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.