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December 8, 2024

Bitcoin Setting Up for Potential Pre-Christmas Explosion, According to Trader That Called 2021 Market Collapse

By Alex Richardson

A closely followed crypto analyst says that Bitcoin (BTC) is setting up for a potential price explosion before Christmas amid a favorable technical setup.

The pseudonymous trader known as Dave the Wave tells his 147,000 followers on the social media platform X that BTC is in an ascending channel with an upward target of about $112,000 that could be hit around December 25th.

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“A pre-Xmas day BTC rally.”

Source: Dave the Wave/X

Zooming out on the weekly chart, Dave the Wave suggests that BTC is also trading within a longer-term ascending channel similar to the 2021 bull market.

The trader’s channel suggests that Bitcoin could be headed somewhere between the $180,000 and $220,000 range sometime in the first half of 2025.

Source: Dave the Wave/X

Dave the Wave is also bullish on altcoins, noting that Bitcoin dominance (BTC.D), which measures how much of the digital asset market belongs to BTC, appears ready to break down, implying a jump in altcoins.

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The trader’s chart suggests that BTC.D has fallen out of a bearish ascending wedge while also hitting a diagonal resistance level at around the 57% level.

“BTC dom. Quarter of the way there?”

Source: Dave the Wave/X

According to the trader, Bitcoin moves in four-year cycles and, if BTC were to mirror past price action, a parabolic move remains on the horizon.

“One positive if the BTC price does correct is that it has, as yet, not gone parabolic, remaining in a technical upward channel.”

Source: Dave the Wave/X

At time of writing, BTC is trading at $100,102.

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