Price Analysis

Bitcoin “Round-Bottom Formation” A Launchpad for $64k, BTC Bulls Upbeat

Published

2 years ago

August 28, 2021

Dalmas

The Bitcoin price is near “stable” in the real sense.

BTC/USD prices are oscillating within a tight $5k range with caps at $46.3k to the downside and $51k successfully barring bulls. Nonetheless, the coin is firm to the upside—at least from the guidance of recent price action.

Bitcoin Market Performance and Status

Candlestick arrangements lack specific direction in the short term as bulls and bears battle it out, appearing equally matched.

All the same, there is much to be taken from fundamental factors. For example, it is no doubt that institutions are seriously considering Bitcoin—and other top-tier crypto assets—as viable investments.

According to a Bloomberg Intelligence ETF expert, the SEC will likely approve the first Bitcoin ETF “as early as October 2021.”

New note out today from @JSeyff re how the Ether ETF withdrawals adds to likelihood that a bitcoin futures ETF will be launched by end of October with ProShares as favorite, altho it could (and arguably should) be a group to avoid first mover advantage. pic.twitter.com/zXFFgmEHw6

— Eric Balchunas (@EricBalchunas) August 24, 2021

If that is the case, it would be easy to see why Bitcoin would easily breeze past crucial resistance levels and even an all-time high to six digits.

Presently, all data points to retail-driven spot market—explaining the fragility of price action and its susceptibility to high price swings, putting off conservative players.

Bitcoin prices are solid above the middle BB, above $46k—and most importantly, $42k—but below August 2021 highs of $51k.

Trend continuation demands Bitcoin bulls breeze past $51k, preferably with high trading volumes, sparking the next impulsive wave that would likely lift BTC to over $64k, reaffirming the firmness of early August 2021 bulls.

Even so, regardless of how this week’s price action concludes, it would be a resounding success for Bitcoin bulls in August.

Will it be enough to ignite even more demand in the months ahead?

BTC Rounded Bottom to Propel Bitcoin to $64k

There has been a rounded bottom formation from the Bitcoin price action in the daily chart. It is a price formation the technical analyst says is exceptionally bullish, precisely the fuel to drive Bitcoin to new horizons.

The trader on Trading View now says a solid base and upbeat bulls are the ingredients necessary to propel the coin to $64k—the all-time highs—in subsequent sessions now that the bullish breakout is complete.

From spot rate, this would require the Bitcoin price to expand by over 37 percent, a possibility considering the broad base spanning from late June to late July.

Technically, the Bitcoin base is firm and the uptrend defined since bulls have been in control for the better part of August. Therefore, with favorable candlestick arrangements and a complete retest following the pullback, the odds of BTC soaring higher remain high.

Bitcoin May More than Double to $110k

One trader on Trading View says Bitcoin could print new all-time highs above $64k. Based on several tools, the analysts project the BTC price to reach $76k and later $110k, more than double the spot BTC rate.

Of note, the analyst says Bitcoin’s sentiment is swinging back to bullish despite the contraction of the past months. And if the trend continues, the coin could register new all-time highs. This is as per the overlay of the Fibonacci extension levels of the COVID-19 trade range.

Historically, the 1 and 2.618 Fibonacci extension levels are usually hit in long rallies. These levels flash with the $76k and $110k, the potential price target for ambitious Bitcoin bulls.

Bitcoin Moving Within a Rising Wedge in the Daily Chart

On YouTube, the Bitcoin price is within a rising wedge in the daily chart. Notably, bulls could print even higher highs more so if there is a rejection of bears.