The general consensus is that Bitcoin is gearing up for a rally that would take it past its all-time high in the coming weeks. Given the recent influx in cryptocurrency and the recent price developmentAnalysts have confidence in Bitcoin going on a parabolic rally to new price areas in the fourth quarter of 2024.
Notably, the $100,000 price point is still a psychological target for investors as it would project the cryptocurrency’s price at a six-figure threshold. According to crypto analyst Peter DiCarlo, Bitcoin seems ready for a run-up to this level. However, a resistance level must be cleared first.
Bitcoin ready for breakout, resistance ahead
Peter DiCarlo shared an interesting price analysis on Bitcoin’s prospects on social media platform His analysis was accompanied by the BTC/USD 1W chart, which illustrated Bitcoin’s performance. Using this chart, he highlighted a significant price breakout that has captured the attention of many investors since last week.
Bitcoin’s recent rally has seen the cryptocurrency breaking above a downward sloping upper trendline That has served as resistance for periods of price increases since the all-time high of $73,737 in March 2024. While Bitcoin has broken the upper trendline, this is not the first time in recent months. However, these breakouts have usually been going on for a while, with Bitcoin eventually trending down.
A key observation from DiCarlo was that Bitcoin has been in a bull-flag formation since March, a technical situation often seen as a continuation pattern during bullish market cycles. DiCarlo noted that “this bull flag has misled MANY traders in recent months.” As such, he emphasized that the $68,000 price is the most important level to watch.
“That said, we need to clear $68,000 before we confirm,” he says said.
$BTCUSD looks solid for an increase to $100,000 in the coming months.
That said, we need to clear $68K before confirming!
This bull flag has misled MANY traders in recent months. As long as the bx still shows bullish accumulation, we should finally break… pic.twitter.com/FhcqvFmWa3
— Peter DiCarlo (@pdicarlotrader) September 28, 2024
Will Bitcoin Finally Reach $100,000 Before 2024 Ends?
DiCarlo’s chosen price level of $68,000 is crucial in determining the size of a Bitcoin peak for the rest of the year. At the time of writing, Bitcoin is trading at $65,635 and is only 3.6% away from $68,000. Continued buying momentum could quickly push Bitcoin above this price point by mid-week, increasing buying pressure on Bitcoin.
Last October, the price of Bitcoin rose by 28.52%. If history were to repeat itself in October this year, it would mean that Bitcoin would end the month at a new all-time high of $85,000. This in turn would pave the way for a further 17% increase to $100,000 in November and October.
Should Bitcoin fail to maintain its upward momentum or encounter resistance, a reversal could occur. In this case, Bitcoin could pull back and revisit support around $63,000.
Featured image from Pexels, chart from TradingView