While some speculate Bitcoin may have already peaked in 2023, one prominent analyst believes there is more upside ahead this year.
According to popular TradingView trader FieryTrading’s recent analysis, Bitcoin could still rally to $48,500 before its 2024 halving event based on historical market cycles.
They posted an interesting comparison between the 2019 pre-halving Bitcoin pump and the current market cycle.
In 2019, Bitcoin rallied from around $3,100 to $14,000 before the 2020 halving event. This pump took Bitcoin all the way to the 0.618 Fibonacci retracement level, which aligned with the 2019 yearly high.
FieryTrading notes that if we examine the current cycle, the 0.618 Fib retracement level is around $48,500 – coincidentally near the 2022 yearly high from March.
So could history repeat itself, with Bitcoin pumping to $48.5K in 2023 before the 2024 halving? As FieryTrading states, markets often rhyme from cycle to cycle. The symmetry is certainly interesting to observe.
Of course, relying solely on a Fibonacci extension carries risks. Still, the potential confluence between the 0.618 level, prior 2022 highs, and historic comparison to 2019, makes $48.5K a level to watch in the months ahead.
With Bitcoin already rallying in late 2022 and into 2023, from around $17k to over $37k, continued momentum could plausibly carry it to test the $48.5K zone later this year.
However, breaking such a heavy resistance level will certainly be a tough task. Bitcoin may very well peak lower, or face harsh rejections at lower levels like $45K.
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But in this market, anything is possible. If buying pressure remains strong in 2023, a rally to tag the 0.618 before the halving should not be ruled out. Bitcoin has overcome far steeper odds before.
As always in crypto, expect high volatility ahead. But FieryTrading offers an insightful potential roadmap for where this pre-halving run could go next.
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