Bitcoin’s price is currently near its 2021 all-time highs and is forming a bullish wedge pattern, leading traders to anticipate a potential price target of $85,000. A pseudonymous crypto trader named Jelle noted that Bitcoin has formed a descending broadening wedge, which is typically considered a reversal pattern. This pattern consists of a sequence of lower highs and lower lows, with the gap widening as the price falls, indicating the expectation of an upward trend reversal.
Jelle further commented that the price appears ready for a breakout, and once it occurs, they expect the move to be sharp, with a first target of $85,000. This target represents a 15% increase from Bitcoin’s current all-time high of $73,679, which was reached in March. As of July 26, Bitcoin is trading at $67,908, showing a 2.61% increase since then.
If Bitcoin reaches $85,000, it would signify a 25% price increase. A similar spike occurred on July 21 when Bitcoin rebounded from dropping below critical levels and recovered from $55,854 back to $68,181. Since July 19, Bitcoin has seen a 1.57% increase in price.
For Bitcoin traders, the next crucial level to watch is $69,000, which was its previous all-time high reached in November 2021. Reaching this level would result in wiping out $929.65 million in short positions, according to CoinGlass data. A pseudonymous crypto trader named Emperor added that it’s best to assume there may be resistance as Bitcoin approaches the $72,000 level.
The anticipation surrounding Bitcoin’s price movement is partly due to the upcoming Bitcoin 2024 conference in Nashville, Tennessee, where former United States President Donald Trump is expected to speak. Traders are waiting to see if Trump will announce plans for a strategic Bitcoin reserve if he is elected US president in November. This has led some traders to refrain from taking short positions on Bitcoin, as they fear a potential surge in price if Trump makes such an announcement.
In conclusion, there is optimism among traders regarding Bitcoin’s price, with the formation of a bullish wedge pattern and the anticipation of a potential breakout towards the $85,000 price target. The upcoming Bitcoin 2024 conference featuring Donald Trump adds further speculation to the market, as traders wait to see if any significant announcements will be made regarding Bitcoin.