A crypto analyst has identified a multi-year Cup and Handle pattern on the Bitcoin (BTC) chart that he believes has gone largely unnoticed by the broader market, despite its importance. The analyst believes that this single formation signals a major bull trend for Bitcoin, predicting a minimum $220,000 price target once the cryptocurrency starts its parabolic movement.
Bitcoin’s roadmap to a $220,000 price target
Market analyst Crypto Tice has done that announced that Bitcoin has completed a cup and handle pattern that had been forming for years. In an X-post, the expert clearly outlined the formation on a map, showing a rounded U-shaped curve marking the Cup portion of the pattern. This is followed by a handle placed just above it, defined by upper and lower trend lines sitting parallel to each other.
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The emergence of a Cup and Handle pattern is common seen as a bullish indicatorbecause it indicates that a cryptocurrency may be about to break resistance and extend the uptrend. Notably, Crypto Tice revealed that Bitcoin has already broken above a resistance zone of its Cup and Handle pattern, reinforcing its bullish stance.
The analyst identified this key resistance between $62,000 and $74,000, noting that Bitcoin has also neatly retested this area after the recent increase above $80,000. According to Crypto Tice, this successful retest has confirmed the overall structure, paving the way for a possible continuation upwards.
Given the strength of these formations, Crypto Tice made it clear that Cup and Handle patterns do not signal modest moves like a 20% rally. On the contrary, they have historically preceded gains of hundreds of percent, which points to that a huge price increase could be on the horizon for Bitcoin.
The analyst predicts that Bitcoin’s next launch phase points to a minimum price target of $220,000. This means he expects the cryptocurrency to rise even higher if it does bullish momentum persists after reaching the initially expected high. From the current price above $80,000, this would represent a potential gain of over 171% for Bitcoin.
Analyst Charts Bitcoin’s Potential Rally to $500,000
In a separate analysis, Crypto Tice shared a longer-term outlook for Bitcoin, project a huge price increase to $500,000. He outlined a clear roadmap showing how the BTC price could achieve this ambitious goal.
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The analyst pointed out an ascending channel on the Bitcoin chart, defined by two parallel straight lines. The channel shows that Bitcoin previously experienced a parabolic rally after completing three different moves, which Crypto Tice identified as a “first touch” of a support level, “a midrange rally,” and a “rejection back to support.”
Now, the analyst believes that Bitcoin has made the same three moves within the current channel, reinforcing his bullish stance. He added that Bitcoin is also currently at the second support step and is likely preparing for the launch of its next bull trend, with a potential price target of $500,000 insight.
Featured image of Dall.E, chart from TradingView.com