Bitcoin’s Legendary Pattern Could Propel Prices to New Heights!

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Right now, everyone is closely watching Bitcoin‘s price to determine if it matches a standard pattern shown on its graph and potentially reach new peak levels.

Ali, an expert in cryptocurrencies, has spotted the well-known “cup and handle” design on the Bitcoin price graph. This technical configuration, typically viewed as a positive sign, hints at the possibility of a substantial increase in Bitcoin’s value.

Based on Ali’s analysis, if Bitcoin follows the identified cup-and-handle pattern, it could potentially reach a peak of $276,400. This pattern is characterized by a ‘cup’ shape where the price initially decreases and then increases to create a rounded bottom, followed by a brief consolidation phase, or ‘handle’, before moving towards new highs.

The digital currency Bitcoin ($BTC) has burst free from a ‘cup-and-handle’ formation, suggesting a possible future price peak at approximately $276,400!

— Ali (@ali_charts) January 17, 2025

In the past, when Bitcoin’s price was rising significantly, a ‘cup-and-handle’ pattern would emerge. This pattern typically occurs before major price increases. If this pattern is confirmed in the current market conditions, it could boost optimism about the direction Bitcoin’s price might take.

In a more recent analysis from CryptoQuant, they anticipate that the price of Bitcoin could surge above $200,000 by the year 2025. They attribute this forecast to several factors such as massive potential inflows estimated at around $520 billion, favorable crypto policies, and a bullish four-year market cycle. As per CryptoQuant’s analysis, each dollar of inflow could potentially boost Bitcoin’s market value by between 2 and 6 dollars due to its multiplier effect.

Bitcoin price action

Currently, as I type, Bitcoin had increased by 1.13% over the past day to reach $103,358. In Friday’s trading session, it peaked at $105,970, continuing its recovery from a low of $95,900 on January 13th.

After experiencing a significant drop at the beginning of the week, cryptocurrencies regained momentum as riskier investments gained traction. This surge was prompted by reassuring U.S. inflation figures, which rekindled hopes for potential Federal Reserve interest rate cuts in the future.

Over the past day, many different cryptocurrencies have seen their previous gains turn into losses, as most are currently trading at a loss. Additionally, according to CoinGlass data, approximately $477 million in cryptocurrency positions were forced to close over the last 24 hours.

This year so far, Bitcoin’s price movements have been quite similar to those of stocks. After a period of consolidation starting from late December, when Jerome Powell, the Chair of the Federal Reserve, issued an inflation warning, the warning was lifted this week following two relatively low inflation figures in December. Over the past two days, Bitcoin ETFs have seen inflows exceeding $1 billion.

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2025-01-18 14:59