Bitcoin’s price is on the rise again, recently surpassing $100,000. This positive trend has some analysts excited.
A Familiar Pattern?
One analyst, TradingShot, noticed something interesting: Bitcoin’s current price action looks remarkably similar to its movements in 2020. They’ve identified a repeating pattern, or “fractal,” in the data.
The 2020 and 2024 Comparison
Both 2020 and 2024 saw similar phases:
- Accumulation: In 2020, this happened between May and August; in 2024, it was March to September. Both periods saw Bitcoin’s price consolidate before a significant jump.
- Bullish Rally: Following accumulation, both years saw rapid price increases. In 2020, Bitcoin went from under $9,000 to over $12,000. In 2024, the jump was from below $70,000 to over $100,000.
- Distribution: After the rally, both years experienced a period of sideways or downward price movement. This lasted for several months in both instances.
- Second Accumulation: A second accumulation phase has now completed, mirroring the 2020 pattern.
The Prediction
TradingShot believes that if this pattern continues, Bitcoin could break out significantly. The price has already broken through key resistance levels. The 50-day moving average (around $97,100) is now acting as support. As long as this holds, the analyst predicts a rally similar to the one seen between October 2020 and April 2021.
They even point out that the Relative Strength Index (RSI) patterns match, further strengthening their prediction.
The $150,000 Target
If the 2020 fractal repeats itself, TradingShot believes Bitcoin could reach $150,000 in this cycle. Positive economic news, like the Fed holding interest rates steady, is also boosting investor confidence in riskier assets like Bitcoin.
