U.Today – All eyes are currently on price to see if it will confirm the textbook pattern outlined on the chart and, in the process, hit new record highs.
Ali, a crypto analyst, identified the iconic cup and handle pattern on the Bitcoin price chart. This technical formation, often considered a bullish indicator, suggests that Bitcoin may be on the verge of a significant price jump.
According to Ali, Bitcoin’s breakout from this pattern signals a potential upside target of $276,400. A cup and handle pattern consists of a “cup” shape, where price gradually declines, then rises to form a rounded bottom, followed by a “handle”, where price briefly consolidates before breaking out to new highs.
The cup and handle pattern has appeared in Bitcoin’s price history during previous rallies, often before significant increases. If confirmed, this current setup sparks optimism for Bitcoin’s price trajectory.
Similarly, in a recent X post, CryptoQuant predicted that the price of Bitcoin could soar past $200,000 in 2025. It cites potential inflows of $520 billion, pro-crypto policies and a four-year growth cycle as factors that could drive this forecast. According to CryptoQuant, Bitcoin’s multiplier effect could result in an increase in market value of $2 to $6 for every $1 inflow.
Bitcoin price action
At the time of writing, BTC is up 1.13% in the last 24 hours to $103,358. Bitcoin hit a session high of $105,970 on Friday, continuing its recovery from a low of $95,900 since January 13.
After a big sell-off earlier in the week, cryptocurrencies rallied as riskier assets rallied sharply in response to comforting US inflation data, which reignited expectations of a future rate cut by the Federal Reserve.
In the last 24 hours, gains in various crypto assets have been reversed, with most trading in losses. In the last 24 hours, according to CoinGlass data, cryptocurrency positions worth $477 million were liquidated.
So far this year, Bitcoin has traded fairly closely with stocks. It has been in a state of consolidation since late December, when Federal Reserve Chairman Jerome Powell issued an inflation warning, which was lifted later this week after two soft inflation numbers in December. Bitcoin ETFs have received more than $1 billion in inflows over the past two days.
