Bitcoin Analyst Predicts Bull Run Towards $140,000
Bitcoin is currently showing signs of strength in an upward trend, but there are some weaknesses in the daily chart that should not be overlooked. Despite the stagnant movement of BTC, analysts remain optimistic about the potential for a price increase in the near future.
Unusual Development on the Weekly Chart
An analyst has noticed an interesting development on the weekly chart. The Bitcoin Bollinger Bands (BB) are currently at their tightest level in history. This tightening of the BB, creating a squeeze, has only been seen twice before in April 2016 and July 2023. This unusual occurrence is catching the attention of traders and analysts alike.
- The BB is a technical indicator used to measure underlying volatility in the market.
- Historically, whenever a BB squeeze occurs, prices tend to experience explosive movements in the following sessions.
- It is crucial to note that the direction of the breakout can be unpredictable, leading to either a bullish or bearish movement.
Potential for Explosive Growth
Based on historical data, previous BB squeezes have led to significant price increases in Bitcoin. For instance, after the BB squeeze in July, BTC’s price surged to over $70,000 by March and eventually reached $73,800.
- If history repeats itself, analysts predict that Bitcoin could soar to $140,000 and potentially even reach $190,000 in the coming months.
- Market indicators suggest that institutional investors are showing interest in Bitcoin, with notable firms like BlackRock leading the way.
Institutional Interest and Potential Policy Impact
Recent reports indicate that institutional investors, particularly spot Bitcoin ETF issuers, have been accumulating significant amounts of BTC. BlackRock, one of the largest asset managers globally, reportedly purchased over $1 billion worth of Bitcoin in July alone.
- On July 18, BlackRock acquired 18,600 BTC, equivalent to $107 million, on behalf of its clients.
- According to data from SosoValue, BlackRock’s IBIT currently manages more than $20 billion in BTC assets.
Furthermore, there is speculation that a potential win by Donald Trump in the United States presidential election could lead to Bitcoin being considered a strategic reserve by his administration. While this remains a topic of debate, the fact that policymakers are discussing Bitcoin as a potential reserve asset reflects a growing acceptance and interest in cryptocurrency.
Hot Take: Embrace the Possibility of Bitcoin’s Surge
As a crypto enthusiast, it is crucial to stay informed about the latest market developments and potential catalysts for Bitcoin’s price movements. With analysts predicting a bullish run towards $140,000 and beyond, now is an exciting time to observe and participate in the evolving crypto landscape. Keep a close eye on institutional actions and policy discussions surrounding Bitcoin, as they could significantly influence its future trajectory in the market.
Sources:
1. https://x.com/BittelJulien/status/1814181786345496825
2. https://www.tradingview.com/x/7Deha62w/
3. https://x.com/thomas_fahrer/status/1814084775436796109
4. https://sosovalue.xyz/assets/etf/us-btc-spot
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