Jan 29, 2025 12:05
Bitcoin’s price action in the past 24 hours has been characterized by intense volatility as it touched both the lower and upper ends of $98,380 and $103,369, respectively. Technical analysis of the Bitcoin price action on the weekly candlestick timeframe shows that the leading cryptocurrency is on the path to a price target of $117,000. An analyst on the TradingView platform has outlined a detailed roadmap for Bitcoin’s journey to this $117,000 price target, highlighting a series of key price zones and market cycles to watch out for. Momentum And Resistance Levels On The Way To $117,000 Technical trend analysis shows that Bitcoin has been trading in an ascending channel in a weekly candlestick timeframe since Q4 2024, with the price steadily climbing within the channel. As demonstrated in the chart below, the most recent 7-day candlestick is bearish, pushing Bitcoin to retest the midline of this ascending channel. This bearish movement reflects temporary selling pressure but aligns with the broader pattern of corrections within an overall uptrend. Related Reading: Bitcoin Price Above $100,000 Renews Hope, Analyst Reveals The Cycle Top A rebound is expected from here, which would send Bitcoin on another move toward the upper trendline. Interestingly, a move toward the upper resistance zone puts the price target around $117,000, marking a significant milestone for Bitcoin. Nonetheless, there remains a potential downside risk, and the journey to $117,000 is not expected to be linear. According to the analyst, Bitcoin may witness a pullback to the zone between $95,000, $97,000, and $100,000, which may act as a consolidation region before Bitcoin resumes its upward trajectory. This zone coincides with previous support levels and trendlines, further solidifying its significance as a critical area for accumulation and stability. The Harmonic Fibonacci projection tool also suggests the pullback to the range between $97,000 and $95,000 could form a “healthier setup” for a sustained rally. Furthermore, temporary resistance near $108,000 could also slow Bitcoin’s climb. This level is even more notable, considering the fact that it is the current all-time high that would need to be surpassed. The overall long-term structure remains bullish even with the potential pullback, with higher highs and higher lows forming on the roadmap to $117,000. Bitcoin’s Market Cycles Across Multiple Timeframes The analyst also looked into Bitcoins market cycles across different timeframes. On the daily chart, Bitcoin is currently in Cycle 2, which the analyst describes as a phase with little buying momentum. Entering at the current level carries a higher risk, and Cycle 1 would need to return for an entry point. The weekly timeframe also reflects Cycle 2 at the top of the chart. This placement often transitions into Cycle 3, which could lead to significant price movement either upward or downward. Related Reading: Bitcoin Long-Term Holders Officially Enter Into Greed Territory, Is This Good Or Bad For Price? On a two-week timeframe, Cycle 1 is present but is also positioned at the top, which is also not a good entry point. However, the removal of a recent sell signal suggests that the immediate risk of Bitcoin dropping below $97,000 has diminished, but is not totally over. At the time of writing, Bitcoin is trading at $102,700 and is up by 4% in the past 24 hours. Featured image from iStock, chart from Tradingview.com
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