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Although currently undergoing a short correction After almost reaching the $100,000 price level, technical analysis has shown the emergence of a bullish pattern on the Bitcoin price chart.
Notably, the correction has given rise to the formation of a bullish pennant on the three-day Bitcoin price chart. This development could be the bullish momentum needed to finally break the $100,000 price threshold. However, the expected breakout is not just above $100,000, but a run that would send the cryptocurrency to $145,000.
Bullish Pennant appears on the Bitcoin price chart
Recent price action in the past 24 hours has seen the Bitcoin price return to the $96,000 price level after losing most of the week on the correction path. Notably, this correction saw Bitcoin price hit a low of $91,000 as many traders took profits.
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In particular, this back and forth movement of the BTC price has given rise to the formation of a small bull pennant. Crypto analyst Trader Tardigrade, known for his technical analyses, pointed out this formation on social media platform X. In his message he said“Small Pennant Big Target” while referring to the formation on the three-day Bitcoin price chart.
A bullish pennant is a continuation pattern which often emerges during strong uptrends. It starts with a sharp price move (the flagpole), followed by a consolidation phase (the pennant), before possibly breaking out in the same direction as the initial trend.
The emergence of this bullish pennant on Bitcoin’s three-day chart suggests that the cryptocurrency may be gearing up for another move higher. However, the formation suggests that Bitcoin price may continue to consolidate for a while as liquidity in the pennant has yet to be replenished. Nevertheless, Trader Tardigrade’s analysis highlights the longer-term implications of this formation. According to his forecasts, once Bitcoin completes its consolidation and emerges from the pennant, it could soar towards an ambitious price target of $145,000.
The $145,000 price target has become somewhat recurring among crypto analysts. For example, this price target also ended up in an analysis by crypto analyst Tony Severino, whose analysis pointed out the Bitcoin price top for this cycle around $145,000.
Price target of $100,000 is still in play
At the time of writing, the BTC price is trading at $96,070 and is up 0.5% in the last 24 hours, but down 3.3% in the last seven days. The possibility of the Bitcoin price reaching the $100,000 mark it’s not a matter of if at this point, but from when.
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Speaking of when, BTC price is about to witness a new catalyst that could eventually push it above $100,000. Bitcoin is set to experience its largest monthly option expiration of 2024 on Friday, with a total exposure of $13.6 billion. This expiration event could provide the momentum bullish traders need to push Bitcoin’s price past the $100,000 mark in the coming week.
Featured image created with Dall.E, chart from Tradingview.com