A crypto analyst who nailed the 2021 Bitcoin market meltdown believes that BTC may be in the midst of forming a bullish reversal pattern.
Pseudonymous analyst Dave the Wave tells his 149,300 followers on the social media platform X that Bitcoin looks to be in the early stages of printing an inverse head-and-shoulders pattern on the daily chart.
An inverse head-and-shoulders pattern is traditionally viewed as bullish, indicating that buyers are stepping in without waiting for the price to revisit recent lows.
The trader shares a chart suggesting that Bitcoin may repeat its price action during the 2nd half of 2024 when it formed the same bullish reversal pattern before surging to a new all-time high.
“Your move, BTC.”
Based on the trader’s chart, he seems to predict that Bitcoin will rally close to $90,000 to form the pattern’s neckline before dropping below $80,000 to create the right shoulder. The chart also suggests a breakout target of $117,000 for BTC.
Looking at the fundamental properties of BTC, Dave the Wave says that Bitcoin’s primary use case has gone a long way from being a tool designed to protect people against authoritarian control. The analyst believes that Bitcoin is steadily growing to become a reliable safe-haven asset.
“Get your thinking right about BTC, and you’ll not be disappointed or demoralized.
In the early days, it may have been about cypherpunk, etc. It is now an alternate currency in the process of being capitalized and taken a lot more seriously.
Market maturity moving toward price discovery.”
Earlier this month, Dave the Wave doubled down on his prediction that Bitcoin will soar to $200,000 amid an uncertain macroeconomic backdrop. According to the trader, the uncertainty will drive investors to seek refuge in the flagship crypto asset.
At time of writing, Bitcoin is trading for $85,416, up over 2% in the past day.
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