Bitcoin saw a rather rapid correction at the start of the week which brought it back to the $40,000 level. This correction understandably shook up some investors in the market, who rushed to panic sell in order to avoid more losses. Once the selling began to die down, the price of the cryptocurrency has been on a slow but steady recovery. Amid this, one crypto analyst has predicted that there could be further upside to come for Bitcoin.
Bitcoin Price Could Retest $69,000
Currently, $69,000 is the holy grail when it comes to price targets for Bitcoin because this remains the asset’s all-time high price. While the price is only at $40,000, it is important to note that it will only take another 70% move from here for the price to reach a new all-time high.
On the topic of reclaiming this all-time high price, crypto analyst Weslad took to TradingView to share their most recent analysis of Bitcoin. According to Weslad, the Bitcoin price could be gearing up for a retest that could take it back to $69,000. This retest is confirmed by the appearance of a cup and handle pattern that suggests a further upside for the price.
As the crypto analyst points out, Bitcoin completed a neckline breakout of a cup and handle pattern when it surged above $31,800 and continued to rise. This completed the cup and handle pattern, and is “now serving as immediate support and demand,” Weslad explained.
The completion of this pattern is also a major factor for an upcoming rally. This is because the pattern is yet to complete the breakout and has not reached its final target yet. As the chart shared by the analyst shows, the current correction is expected and the final target for this pattern sits somewhere around $69,000.
BTC price sitting at $41,200 | Source: BTCUSD on Tradingview.com
BTC Price Could Go One Of Two Directions
While the possibility of a Bitcoin breakout does remain high due to the completion of the cup and handle pattern, there is still more than one scenario that could play out from here. Naturally, the two possible scenarios here are either bullish or bearish.
Weslad presents two scenarios with the first one being an upward rally. The analyst explains that this rally, marked Scenario A, could come as a result of the sustained support at the Handle’s target zone. In this case, there is resistance for the BTC price between $48,000 and $50,000.
Moving on to the next scenario, Scenario B is the bulls failing to surmount the expected resistance at $48,000 and $50,000. In such a case, the analyst suggests that the Bitcoin price could correct further down, going as low as the Neckline at $31,000, which currently acts as a critical support zone.