Key Facts: Bitcoin is preparing to enter a new bull run, says analyst. Potentially, bitcoin would go to $190,000 in this bull cycle. Bitcoin (BTC) has consolidated its price both above and below the $60,000 level, preparing for a new run to all-time highs, according to the market analyst who identifies himself on specialized forums as 'BullBear Trading'. This investor's analysis is based on the Elliot Wave theory, which suggests the completion of a pattern with a possible breakout movement in September. The Elliot Wave theory is a technical analysis method that identifies recurring patterns in financial markets, based on the mass psychology of investorswhich manifest themselves in impulse and correction waves. It establishes that large price movements are composed of five impulsive waves in favor of the trend, followed by three corrective waves against it. BullBear Trading, supported by a daily graphic analysis, foresees that the breakout could occur in mid to late September.
BTC price analysis based on Elliot waves. Source: BullBear Trading. According to this specialist, Bitcoin is currently in the fourth wave of a bullish impulse patterncharacterized by a sideways or downward correction within a broader uptrend. The analyst compares the current wave sequence 3-4 with the already completed wave sequence 1-2, looking for similarities in price action and technical indicators to predict the future of wave 4. A key factor that BullBear Trading highlights is that, prior to the third wave, the moving averages were compressed, suggesting accumulation and an imminent trend change. If their prediction is correct, the end of wave 4 would present an excellent opportunity to open a long position, waiting for the start of wave 5. According to BullBear Trading, this fifth wave is usually the most powerful, outperforming the gains seen in waves 1 and 3.
Bitcoin could reach $190,000
If wave 5 repeats the 180% move recorded in wave 3, bitcoin could reach $190,000, a level that falls within the $100,000 to $300,000 range, the analyst notes. However, he warns that, If Bitcoin were to fall back into the $50,000-$53,000 region, you would be forced to reconsider your analysis.as the bullish trend started in November 2022 would be in danger of breaking. BullBear Trading also points out that Bitcoin price could consolidate in 2-4 weeks below the $72,000-$74,000 resistance range before starting its next bull run.
There are more signs of a possible bull run for bitcoin
To this forecast Two key factors are added, from the on-chain analysis, that are driving this possible rise: : Decreasing BTC reserves on exchanges and increasing stablecoin reserves, primarily USDT. The reduction in bitcoin reserves on exchange platforms reflects lower selling pressure, as Investors prefer to transfer their funds to walletswhich reduces the supply in circulation, as reported by BitcoinDynamic. On the other hand, the increase in stablecoin reserves on exchanges suggests that investors are accumulating capital ready to be deployed in the purchase of assets such as bitcoin, which generally translates into an increase in demand and, consequently, a possible rise in prices.Both factors converge and project an increase in the BTC price, which could push the rest of the cryptocurrency market towards an upward trend in the coming weeks.