A popular crypto strategist is outlining a path for a strong Bitcoin (BTC) breakout en route to a fresh all-time high.
Pseudonymous crypto analyst Pentoshi tells his 526,300 Twitter followers that he sees a potential scenario where Bitcoin continues to print bullish higher low setups and ignites a parabolic rally to $72,000.
“Instead, I now offer an alternative. I believe we should change direction and head for option two.”
Bitcoin is currently trading at $39,233. A rally to Pentoshi’s target represents an upside potential of over 83%.
Pentoshi, who has been a Bitcoin bear in the past few months, is now starting to lean bullish as he says BTC could receive an influx of demand in the coming weeks.
The crypto strategist says that one key catalyst for a Bitcoin rally is the intention of Ethereum competitor Terra (LUNA) to buy around $1 billion worth of BTC to add to its reserves.
“My boy Do Kwon about to add $1.2 billion worth of BTC to their reserves. I’d guess, starting next week.”
Do Kwon, the founder and CEO of Terra developer Terraform Labs, said earlier this month that the company plans to become one of the largest BTC holders.
The Terra Protocol will be one of the largest holders of $BTC@saylor beware
— Do Kwon ? (@stablekwon) March 2, 2022
Another catalyst that can send BTC to new all-time highs, according to Pentoshi, is El Salvador’s plan to buy $500 million worth of the king crypto through its Bitcoin bonds.
“Man, what if a country, like, totally buys $500,000,000 worth of BTC in the next weeks and then like, used the rest to mine it off a volcano and had this city, a Bitcoin city…”
In February, Blockstream’s Samson Mow told beINcrypto that investor commitments for the country’s Bitcoin-backed bonds had surpassed $500 million.
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