Finance/Investment
The Ongoing Bitcoin Bull Market: Historical Insights Suggest Continued Growth
Analysis indicates that Bitcoin's price trend may retain significant bullish potential, suggesting a future move above $90K.
1 min read
Key Insights Regarding Bitcoin’s Price Trends
- Bitcoin’s (BTC) 200-week simple moving average (SMA) indicates substantial upside potential as inflation pressures emerge in the U.S.
- As of now, the 200-week SMA sits at $44,200 according to TradingView, showing significant upward movement compared to historical highs.
Historical Market Behavior
- The current average remains below the peak of $69,000 reached in November 2021 during the last bull market.
- Historical data suggest that previous bull markets conclude when the 200-week SMA reaches the record prices from earlier uptrends.
- The end of the 2021 bull market saw this moving average peak at $19,000, linking closely to 2017 market highs.
- The 2017 upswing concluded with the 200-week SMA reflecting over $1,200.
- Should historical patterns continue, the current price range of $90,000 to $110,000 is expected to resolve positively, indicating a bullish trend ahead.
Options Market Insights
Market expectations reflected through Deribit options pricing suggest bullish sentiment as calls are outpacing puts at higher than market prices, particularly with the $120K strike being highly active, embodying over $1.8 billion in interest.
The analysis underscores that current trends potentially favor continued bullish momentum for Bitcoin heading into future market movements.
