Bitcoin to $48,000 in crypto summer? Only if…
- An explosive upward trajectory, triggered by the Livermore trendline, could help Bitcoin reach $48,000.
- While there were signs of correction, an entry point could be BTC’s press time price.
Bitcoin [BTC] has become the center of attention in the crypto market since its recent $31,000 hit, thanks to the approval of the first set of Bitcoin-leveraged ETFs. But beyond that, the hike has ensured that 76% of holders are in gains, according to IntoTheBlock.
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This has mounted speculation about the possibility of a continuous surge during what some refer to as the “crypto summer.”
Bullish shifts in hot temperatures
For clarity, a crypto summer refers to a period when market prices increase and trading activity. This usually occurs after the crypto winter characterized by hawkish market conditions.
While many are eagerly anticipating BTC’s next major move, anonymous technical analyst Coiner-Yadox opined that the coin could hit between $44,000 and $48,000. According to him, this could happen before summer ends or around September.
His projection was driven by the 61.8% Fibonacci retracement level and Livermore accumulation cylinder trendline.
Also known as the “accumulation cycle with a widening mouth,” the chart shared showed that the Livermore indicator was forming a slow, explosive pattern to the aforementioned target.
Furthermore, Coin-Yadox mentioned that the 61.8% Fib level could also act as a profit-taking point. But this might only occur when the price hits the said region. He added that increased selling volume at this point could trigger a 30% correction afterward.
Surety in corrections
Whether this projection comes to fruition or not, many holders seem to be committed to holding for the long term. This was discovered by the increasing state of the supply outside of exchanges.Usually, an increase in the metric denoted the conviction that a bullish rally was forthcoming. But if it had decreased, then it would mean dwindling confidence in the long-term price action.
On looking at the price-Daily Active Addresses (DAA) divergence, Santiment showed that it had fallen to 97,35%. This metric compares the overall level of network activity in correlation with the asset value.
Read Bitcoin’s [BTC] Price Prediction 2023-2024
Although the metric condition should not be the only indicator considered when looking at entry or exit points, the state at press time infers that there could be a solid buy signal at BTC’s price.
In a related development, another analyst, Pentoshi, told his 693,00 Twitter followers that BTC might find support at $29,000. And this could be the correction it needs to reach $32,000 in the short term. He pointed out,
“Locally a good spot to watch the BTC daily close on if we close back below the prev highs. Either way. Think we make it to 32k.”