Bitcoin continues to dominate market discussions with predictions of dramatic price movements. Crypto analyst Ali Martinez suggests that Bitcoin could soar to an impressive $138,000 before experiencing a significant 30% price correction. This forecast, based on historical trends and current market behavior, has stirred excitement and caution among investors.
Martinez referenced Bitcoin’s behavior in previous bull markets to explain his outlook. During the 2017 bull run, Bitcoin surged 156% past its prior all-time high (ATH) before experiencing a major correction of 39%. Similarly, in 2020, Bitcoin rallied 124% beyond its ATH, only to see a 32% pullback.
Applying this pattern to the current market, Martinez predicts that Bitcoin could reach at least $138,000 before facing its first major correction. However, for this bullish scenario to unfold, BTC must first achieve a sustained daily close above $91,900 to overcome its current bearish outlook and aim for $100,680.
While Bitcoin’s recent price action has cooled following a parabolic rally, market sentiment remains a crucial factor. Martinez highlighted the “greed index,” which is at its peak—a potential warning sign of overleveraged positions. Historically, extreme greed among investors often precedes a price correction as positions are liquidated, causing volatility.
Despite this caution, Martinez has raised his near-term price target to $150,000, suggesting that the next major rally could occur within days before the anticipated 30% pullback.
Crypto analyst Kevin Capital added further insights, predicting that Bitcoin could double its price within the next three weeks. He noted that in previous cycles, after breaking its ATH, Bitcoin entered price discovery phases, often doubling its value within four to six weeks.
Currently, Bitcoin is approximately 45%-50% away from doubling its previous ATH of $73,000 and is in the third week of its price discovery phase. Kevin emphasized that if Bitcoin doesn’t achieve this rally soon, it would underperform compared to previous bull markets.
Interestingly, this cycle marks the first time Bitcoin has hit a new ATH before a halving event—a development that occurred earlier this year.
At the time of writing, Bitcoin is trading around $91,900, showing a modest uptick in the last 24 hours, according to data from CoinMarketCap. While the current price indicates strong support, the path to $138,000 hinges on overcoming significant resistance levels and maintaining bullish momentum.
Bitcoin’s journey to $138,000, if realized, will likely involve sharp market moves and heightened volatility. Investors are advised to tread carefully, considering both the potential for substantial gains and the risk of a sharp correction.
With historical patterns, market sentiment, and technical indicators all playing a role, the coming weeks will be pivotal for Bitcoin. Whether it reaches new heights or faces a correction, one thing is certain: the flagship cryptocurrency remains a focal point in the financial world.
As Bitcoin continues to make headlines with its potential to hit new all-time highs, it’s essential for investors to stay informed and cautious. While the possibility of a rally to $138,000 is exciting, the risk of a significant correction looms large. Historical trends suggest that Bitcoin’s price action often follows cycles of rapid growth followed by sharp pullbacks. Therefore, investors should be prepared for both opportunities and challenges ahead. Monitoring key resistance levels, market sentiment, and any changes in the broader economic environment will be crucial for making informed decisions in the coming weeks.
Dan hold a master of finance from the ISEG (France) , Dan is also a Fan of cryptocurrencies and mining. Send a tip to: 0x4C6D67705aF449f0C0102D4C7C693ad4A64926e9
Get the latest Crypto & Blockchain News in your inbox.
Join Now