As a 3-year Cup and Handle pattern shows on its long-term chart, Bitcoin is about to undergo a notable movement. Analysts are observing the market for indicators of a breakout that would drive the price of Bitcoin over $100,000. CryptoJack, an analyst on X believes Bitcoin is almost in the last phase of consolidation before a possible surge.
#Bitcoin is in a 3-Year Cup & Handle pattern which is waiting to break out any month now.
— CryptoJack (@cryptojack) September 16, 2024
This shows a target of $128,000 $BTC this cycle 🎯 pic.twitter.com/IX9R1KRCaX
Cup and Handle Structure
Emphasizing a classic bullish continuation pattern is the Cup and Handle pattern shown on the Bitcoin chart. The cup starts with the price movement of Bitcoin falling from its October 2021 highs. Late 2023 saw a comeback after which the cup acquired a rounder bottom.
Called the handle, the current phase is a consolidation period starting early 2024. Bitcoin has been trading inside a limited range during this period, suggesting market uncertainty as traders wait for validation of a breakout.
Bitcoin & Ethereum Whale Transactions Drop Since March PeakPotential Breakout to $128,000
Usually a last phase of consolidation, the handle indicates Bitcoin is gearing for a breakthrough. Given the analyst target price of $128,000, a movement outside the top limit of the handle would see this increase through. This is a critical period for Bitcoin investors and traders since market experts estimate the breakout to take place in the coming months.
During this press, Bitcoin is trading at $58,679.72, having dropped 2.24% in value within the past 24 hours. Bitcoin has however shown a 6.22% price rise over the past seven days, a reflection of ongoing strength despite transient swings. With a Bitcoin 24-hour trading volume of $25.88 billion, the market is clearly active. These numbers imply that although Bitcoin is still erratic in the near future, its long-term technical patterns hint to a possible breakout. Therefore, this would support the optimistic view given by the development of the Cup and Handle.
