Crypto analyst TechDev believes Bitcoin is on the verge of its most significant breakout yet.
Historical Patterns and Technical Indicators
TechDev’s analysis shows that Bitcoin has historically experienced parabolic price increases, known as “blowoff tops,” followed by corrections. However, the 2021 peak deviated from this pattern, suggesting a potential change in market behavior.
Breakout from Descending Wedge
TechDev’s chart also highlights a “descending right-angled broadening formation,” where Bitcoin has broken out of a wedge pattern, indicating a shift to a bullish trend.
Breakout Against M1 Money Supply
Bitcoin has broken out against the M1 money supply for the first time since 2017. This suggests that the recent price increase is driven by intrinsic demand rather than money supply growth.
Comparison to 2021 Cycle
TechDev believes that Bitcoin could outpace its 2021 cycle due to its breakout against M1. The increased demand and anticipated money supply growth could lead to even higher price levels.
Conclusion
TechDev’s analysis points to a potential bull run for Bitcoin, with historical patterns and technical indicators suggesting a significant breakout. The breakout against M1 money supply further supports the bullish outlook, indicating strong intrinsic demand.
