Bitcoin Struggles to Reach $70,000 Amidst Market Volatility
The world of cryptocurrency is abuzz as Bitcoin, the pioneer and largest digital currency by market capitalization, made a valiant attempt to hit the $70,000 mark during today’s trading session. However, bulls have yet to achieve this milestone, with BTC only managing to reach an intraday high of $69,891 in early Saturday trade.
Current Market Conditions
- At the time of writing, BTC has experienced a 2.28% decline in the past 24 hours, trading at $69,373.
- This downward trend follows profit-taking from the recent high of $73,600 reached on Tuesday.
- If today ends in losses, it will mark the fourth consecutive day of Bitcoin trading in the red since hitting the recent high.
Peter Brandt’s Insights
Veteran trader Peter Brandt has chimed in on Bitcoin’s price movement, sharing a tweet that included a screenshot of the BTC weekly chart. While Brandt did not delve into detailed analysis, the chart pattern he highlighted hinted at a potential breakout for Bitcoin.
The pattern observed in Brandt’s tweet resembles a diagonal formation with slanted boundary lines. In a previous analysis, Brandt suggested that this pattern could lead to a target price of $97,056 upon breakout.
Potential for Bitcoin to Reach $97,000
Achieving a target of $97,000 would signify a significant 38% surge in Bitcoin’s current value. However, the road ahead may not be without challenges. Despite this, the market remains optimistic, closely monitoring Bitcoin’s price action in the days to come.
Bitcoin has been making notable strides in recent weeks, aiming to surpass its previous all-time high of $73,750 achieved in March.
Brandt’s Cautionary Note
While excitement brews around a possible breakout, Brandt cautioned in an analysis from late October that Bitcoin’s diagonal pattern might not yet signal a true breakout.
According to Brandt, “Diagonal patterns with slanted boundary lines are tricky to navigate as breaching a boundary line, while exhilarating for bulls, does not necessarily indicate a breakout.”
For Bitcoin to confirm a genuine breakout, Brandt emphasized the need for a decisive close above $76,000: “To validate a breakout, the daily chart must see a close above $76,000 (ATR close above March high) and receive confirmation.”
Brandt highlighted that there is still substantial groundwork to cover: “Inspecting the weekly chart, this upward momentum has merely grazed crucial chart points. There is still a considerable amount of work to be done.”