The latest surge in Bitcoin’s value has highlighted various factors, with one notable aspect being the emergence of a bullish Bitcoin fractal that hasn’t been observed in two years. Crypto analyst FieryTrading recently emphasized this pattern in an analysis of the primary cryptocurrency, suggesting it could be indicative of a prolonged rally.
Bitcoin Bullish Fractal Resurfaces
The crypto analyst highlighted a previously identified channel in Bitcoin’s price, suggesting a potential continuation of a bullish trend. This channel typically forms after a significant price surge, and considering BTC’s recent increase of approximately $15,000 in a month, it represents a substantial movement. Consequently, the channel has reappeared, indicating that the BTC price may adhere to this historical fractal.
FieryTrading pointed out that the fractal first emerged in 2019 when the price surged from around $4,100 to $5,800. Following this, the fractal completed its cycle, leading to a BTC price increase beyond $6,800.
Similarly, in 2020, the fractal reappeared as the BTC price rose from approximately $11,000 to $14,200. Just like in 2019, the confirmation of the fractal coincided with a continuation of the bullish rally, propelling the Bitcoin price above $16,000.
Most recently, after Bitcoin’s price surged from $28,000 to $41,000, the fractal has once again made an appearance. FieryTrading elucidates, “The pattern I’m referring to is a bullish channel following a significant pump, resulting in another substantial surge.”
What Implications Does This Have for BTC’s Price?
Based on historical performances observed when this fractal appears, it suggests that the current rally for Bitcoin has significant potential for further growth. The crypto analyst utilized this historical data to outline a probable trajectory for the cryptocurrency’s price, placing the upper limit of the fractal at $48,000.
“Considering how the market has historically responded, I made the assumption that BTC would follow this fractal and break out of the channel in the near future. One week later, and BTC has indeed broken out of the channel, aligning with the predictions from this fractal analysis,” FieryTrading affirmed. “As outlined in my analysis below, I am currently eyeing $48k as the next target. Given the historical behavior of these fractals, reaching $48k should be relatively achievable.”
If this fractal unfolds as anticipated by the analyst, the BTC price could potentially increase by another $6,000 from its current level before the upward trend concludes. This implies the leading cryptocurrency might experience an additional 10% surge from its present price. Follow Best Owie on X (formerly Twitter) for market insights, updates, and occasional humorous tweets. Featured image from Web-Mind, chart from TradingView.com.