Bitcoin (BTC) seems poised for a notable upsurge, as per a recent analysis. Despite some doubts about whether BTC has reached its peak, analysts anticipate a substantial rise is on the horizon, potentially in late Q3 or early Q4 this year.
Crypto expert Stockmoney Lizards recently presented a series of posts indicating a strong potential for a significant upturn in Bitcoin. Drawing parallels from the historical trends observed in the past three cycles of Bitcoin, the expert reinforced the projection of a positive outcome.
The analyst highlighted how Bitcoin’s halving events historically trigger selling reactions, as small investors expect a price hike, prompting major investors to start offloading their assets. This phase usually leads to a correction and asset redistribution post-halving.
During this period, retail addresses often purchase at peak levels only to sell at a loss, while savvy investors take advantage of lower prices, setting strong support levels. In the current cycle, significant support is seen in the $53,000 to $56,000 range.
Another key element in their prediction is what Stockmoney Lizards refers to as the “short-squeeze zone.” This area is expected to witness substantial liquidations, which could reverse many positions and create a bullish trend. Such scenarios often involve an initial fakeout or price drop before the actual rally begins.
Bitcoin bull market support bands reclaimed
Additionally, analyst Mags provided a bullish update on Bitcoin’s recent performance. On July 24, Mags noted that Bitcoin had reclaimed its bull market support bands. This is a positive sign suggesting that these levels now serve as support. Historically, such recoveries have preceded significant price jumps, with Bitcoin’s price increasing by 171% the last time this occurred.
However, Bitcoin ETF providers have been actively buying, backing the positive forecast. Despite a recent downtrend, these large investors have been steadily acquiring Bitcoin. It indicates that the current price levels may be strategic ahead of a potential market surge.
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