Bitcoin Primed for a $120,000 Rally if Key Support Holds, Analyst Suggests
Following a turbulent period marked by significant liquidations, Bitcoin is at a critical juncture, with a prominent analyst identifying a crucial market condition that could propel the cryptocurrency toward a $120,000 recovery. Despite recent price corrections, the leading digital asset's resilience around a key psychological level offers a glimmer of hope for investors seeking a sustained rebound.
The Indispensable $100,000 Threshold and Technical Confirmation
In a recent analysis, market expert PlanD highlighted the psychological $100,000 price zone as pivotal for Bitcoin's future trajectory. This level's significance is amplified by its alignment with Bitcoin’s 50-week exponential moving average (EMA)—an indicator that has historically served as a critical metric for market shifts since 2022. The analyst observes that Bitcoin has consistently bounced from this EMA in the current bull run, successfully retesting it three times and leading to subsequent price surges. The recent dip and subsequent bounce from $100,700, according to PlanD, potentially confirms a bottom formation, with sustained bullish weekly closes above this support essential for maintaining an upward trend.
Ambitious Targets Beyond Short-Term Gains
If the current market strength persists above the crucial 50-week EMA, PlanD projects a short-term bullish price action, with potential targets ranging between $116,000 and $120,000. Looking further ahead, the analysis points to a broader bullish outlook, citing an ascending channel that began in late 2024, which could see Bitcoin climbing towards $176,000. Simultaneously, a large-scale cup-and-handle formation, developing since 2023, suggests an even more ambitious long-term target of approximately $340,000. While Bitcoin's current trading at $102,277 reflects recent losses, the underlying market structure, particularly the strong defense of the $100,000 zone, reinforces the potential for substantial future gains.
