Bitcoin Forms Bullish Pennant Indicating Potential Surge to $113,000
Crypto analyst Trader Tardigrade identified a bullish pennant on the Bitcoin chart, suggesting a potential price rally to $113,000.
Bitcoin Bullish Pennant Could Send Price To $113,000
Trader Tardigrade highlighted a bullish pennant formation indicating a continuation of an uptrend after a short consolidation. The BTC price is approaching the apex of this pattern, signaling an imminent breakout. The short-term target remains $113,000.
The analyst noted that Bitcoin's current consolidation appears healthy and that the weekly candle closed near its all-time high (ATH) of $93,000. This supports the notion of a strong uptrend and the start of a bull run. Historically, he forecasts that Bitcoin could reach as high as $462,000 in this market cycle based on Fibonacci extensions, with potential targets of $173,000 at 1.618 and $462,000 at 2.272.
BTC Could Witness A Significant Price Correction First
Analyst Ali Martinez warned of a potential steep correction for Bitcoin. He cited extreme investor greed, reflected in increased Google search interest for Bitcoin, as a risk factor. Additionally, investors have realized over $5.42 in profits, which may lead to selling pressure if they choose to secure those gains.
Martinez pointed out that the TD Sequential indicator has issued a sell signal on the BTC daily chart. The Relative Strength Index (RSI) indicates that Bitcoin is currently overbought. Should a correction occur, key support levels to monitor are between $83,250 and $85,800, and between $72,880 and $75,520. However, maintaining a daily close above $91,900 would negate this bearish outlook and potentially trigger a breakout to $100,680.
