Capriole CEO predicts bitcoin to rise to $100 000
Charles Edwards pointed to a “bump & run reversal” pattern on the chart of the first cryptocurrency
15.03.2023 - 14:00
368
3 min
0
Bitcoin BTC tickers down $24,582 is setting up a classic trading move, which could see it hit $100,000, one analyst says.
In a tweet on March 14, Charles Edwards, founder and CEO of investment firm Capriole, called BTC price action in 2023 a “bump & run reversal.”
Edwards on BTC price: The “bottom is back”
Having passed $26,000 to hit new nine-month highs this week, BTC/USD is in the midst of a recovery rarely seen before.
Despite cooling under $25,000 at the time of writing, longer timeframes are already getting analysts excited after the brutal 2022 bear market.
For Edwards, Bitcoin in 2023 has been straight out of the market’s textbooks. The largest cryptocurrency is attempting to fulfill a “bump and run reversal pattern,” he believes.
The bottom phase of bump and run is defined by investment resource Wealthy Education as follows:
“The bump-and-run reversal bottom is a bullish reversal pattern that begins with a series of descending peaks. Excessive speculation drives prices down until reaching extreme lows. The price action then reverses direction to the upside and marks the end of the downtrend.“
“Textbook perfect Bitcoin ‘Bump & Run Reversal’ bottom is back and the target is over $100,000.” Edwards summarized.
Accompanying charts described the bump and run phenomenon, showing BTC/USD in the latter stages of its trend break and cementing a key resistance/support flip.
What happens next — the so-called “uphill run” — gives the pair a six-figure target.
BTC/USD annotated chart. Source: Charles Edwards/ Twitter
Nonetheless, Edwards acknowledged that, like any chart pattern, bump and run might “fail” and should not be used as the basis for a trading or investment strategy.
Key Bitcoin price resistance ahead
For others, sky-high BTC price valuations remain a fantasy.
Directly above the current spot price lies an area of heavy resistance that Bitcoin bulls have failed to overcome so far. Key moving averages (MAs) on weekly timeframes likewise remain unchallenged.
“Best case scenario for BTC is to break the 200 MA on this current move,” trader and analyst Rekt Capital argued about the current interplay between BTC/USD and the 200-week MA.
He showed that previous rejections had delivered double-figure losses.
“Clearly, the 200 MA is weakening as resistance. However, what if the 200 MA rejections are declining by 10% each time?” he continued.
“If BTC fails to break the 200 MA soon, could BTC reject by -12%?”
BTC/USD annotated chart. Source: Rekt Capital/ Twitter
This material is taken from the website https://cointelegraph.com.
Useful material?
Technologies
Network fees will be integrated into the cost of swaps
Nov 22, 2024
Market
The company’s unrealized profits from investing in its first cryptocurrency approached $14 billion
Nov 19, 2024
Incidents
The search, the reason for which was not announced, took place a week after the election, the results of which Polymarket users predicted quite accurately
Nov 14, 2024
Market
Analysts point to the growing popularity of the first cryptocurrency as a safe haven asset
Nov 13, 2024
Market
The product will begin trading on the Swiss Exchange on November 19
Nov 12, 2024
Market
The company’s unrealized profits from investing in the first cryptocurrency approached $13 billion
Nov 12, 2024