Bitcoin (BTC) has started the week on a high note, breaking out from a bullish pattern after experiencing a period of lateral movement over the weekend. The leading cryptocurrency has embarked on what experts are calling its “parabolic phase.” Currently, Bitcoin is just 3.4% shy of reaching its all-time high (ATH), signaling potential significant gains in the coming days.
Bitcoin’s Launch into the Parabolic Phase
Over the past fortnight, Bitcoin has experienced an astonishing rise, jumping a remarkable 32% to land in the $89,000-$90,000 range. This impressive performance included an 11% surge last Monday, setting the stage for Bitcoin to reach its latest ATH of $93,400 shortly thereafter. Since achieving this milestone, Bitcoin’s price has stabilized within the $89,000-$92,000 range, albeit with a brief dip to $87,000 last Friday. During the weekend, Bitcoin maintained this range, recording its largest weekly close in its history.
Crypto analyst Rekt Capital has emphasized that Bitcoin is just beginning its “parabolic phase.” According to the analyst, the third week of the cycle’s initial “price discovery uptrend” started today. Historically, Bitcoin has experienced approximately 300 days of parabolic ascent in each cycle, with the first significant pullback occurring over a month after entering the price discovery mode.
Rekt Capital’s analysis shows that it took six weeks for Bitcoin to witness its first major pullback in 2013. Similarly, in 2017, Bitcoin surged for eight weeks before a deeper correction. In the 2020-2021 cycle, Bitcoin soared for four weeks prior to a significant retracement. Based on these historical patterns, the analyst believes that there is still considerable upside potential, with the first price discovery correction likely weeks away.
Could a Massive Move Be Imminent?
Ali Martinez, another prominent analyst, suggests that Bitcoin might be echoing its 2020 pattern. In that year, after surpassing its previous ATH of $19,700, Bitcoin rose by 26% and entered a week-long consolidation phase. Following this consolidation, Bitcoin surged by 66%, reaching $40,000 over the subsequent two weeks.
Martinez observes that Bitcoin has risen 28% since surpassing its March ATH, and it has been consolidating for nearly a week. This pattern suggests that a significant upward movement could be imminent, possibly propelling the cryptocurrency toward the $100,000 milestone this week.
Another market observer, known as Crypto Yapper, concurs, predicting a “massive move” for Bitcoin soon. The analyst noted the cryptocurrency’s consolidation, focusing on the substantial price activity around the $89,000-$90,000 threshold.
A Key Resistance Turned Support
This horizontal level previously acted as a critical resistance zone earlier in the week but has since been validated as a support level over the past five days. As Bitcoin retested the $91,000 mark earlier today, the analyst pointed out that the price could maintain its bullish momentum and aim for a new ATH around $95,000.
Additionally, Bitcoin began the week by breaking out of a one-week symmetrical triangle pattern. According to Crypto Yapper, this is a “typical continuation pattern” for Bitcoin, indicating the potential for further upward movement if the breakout is confirmed throughout the day. The analyst projects that Bitcoin could hit $100,000 by the end of the week if this uptrend continues.
As of the latest updates, Bitcoin is trading at $90,260, reflecting a 10% increase over the weekly timeframe.
