According to a tradingview crypto analyst named “tradingshot”, the The price of Bitcoin has formed a double background Model and is on the right track to reach a new summit of all time (ATH) of $ 112,000. This potential trajectory change occurs after the cryptocurrency experienced a serious price crash that briefly pushed it below the $ 100,000 mark.
Bitcoin Price finds solid support for the double bottom
The price of bitcoin crashed Below $ 100,000 earlier this week as an artificial intelligence model in China (IA) In depth has gained popularity on the American and global investment market, going beyond Openai chatpt. While this drop came as a shock, triggering a massive saleBitcoin managed to recover more than 50% of his losses in a short time.
Related reading
After this serious crash, tradingshot revealed This Bitcoin had rebounded at a double level of support, using two solid support lines to prevent other price sheets. The analyst shared a detailed price board which highlights several double bottoms, one of which is an average of 4 hours of 200 holly (4 hours MA200).
A Double bottom model is a formation of graphics which indicates a reversal of potential tendency of a downward trend to a upward trend. It is characterized by two consecutive stockings around the same price level and creates a movement in the shape of W.
Looking at the graphic, the price of bitcoin moves in a Ascending channelindicating a general rise. The 4h MA200 on the Orange trend line is a solid level of double background support, which Bitcoin recently tested for the first time in 12 days.
Tradingshot also mentioned a “pivotal trend line” in which Bitcoin previously faced the resistance, from his Ath in December 17, 2024. This trend line now acts as a support line for cryptocurrency, because its price has reversed nearby. In particular, Bitcoin almost touched the end of January channel, indicating a potential Key support area. This is similar to a model in December, where the cryptocurrency rebounded on the same support and struck a new ATH.
Key resistance at 4 am Ma50 – Breakout or Rejection?
In the tradingshot graphic, the 4h Ma50 is indicated on the blue line, acting as a dynamic resistance level for cryptocurrency. Currently, Bitcoin is negotiated below MobileThis means that an escape above this level could trigger more increase.
The analyst predicts that if the bitcoin breaks above 4h Ma50, he could continue your bullish momentum To a higher price level between $ 110,000 and $ 112,000. This massive wave Mark a new ATH For the pioneering cryptocurrency, the highest price that Bitcoin has never reached is more than $ 108,000.
Related reading
Support this bruise scenario, the tradingView analyst highlights Bitcoin relative force index (RSI)which shows areas of occurrence marked in green circles on the graph. Whenever RSI falls below 30, Bitcoin tends to bounce back, indicating potential for a solid rebound.
Conversely, the analyst has provided for a Bitcoin Bitcoin scenario If he faces a rejection around 4 hours Ma50. He predicts that Bitcoin could review the double background at $ 98,000, a lower level observed on December 23 and January 13. deeper correction is expected for this cryptocurrency if it continues on a downward trend, the analyst projecting an accident at $ 96,000.
Istock star image, tradingView.com graphic