Given the widespread bullish sentiment surrounding Bitcoin, an analyst at X believes that the rise will not be as strong as in recent weeks. The analyst points to the evolution of Bitcoin logarithm curves and believes the coin will face resistance if it attempts to break out higher.
Bitcoin uptrend is slowing
The analyst doubts the current excitement surrounding the uptrend and technical formations suggest a contrarian view. Many in the industry believe that Bitcoin will not only fall above $70,000, a round number that was almost tested this week, but also rise to $100,000 in the next few weeks.
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At X, the analyst remains confident about the coin's prospects. However, based on Bitcoin log curve assessment, the rise is likely to be arduous. The analyst compares the current price formations with the Bitcoin log curves. In 2021, the tool was used to identify price spikes.
Based on price formation, the analyst notes that prices are likely to reverse between $77,000 and $149,000 when BTC peaks in 2024. The upper and lower bands of these predicted peaks represent layers 5 and 7 of the logarithmic curve.
Even if BTC could potentially rise to $149,000, at least from the tool, the layer 7 target is relatively lower. Taking into account a one-year slowdown in growth, the forecast peak is revised downwards from $180,000 to $149,000.
When writing, the “red band” of the logarithm curve was broken earlier than usual. Looking back, Bitcoin prices tend to peak three months after this breakout. www.tradingview.com/x/tEAf0OXw
This means Bitcoin's peak value is likely around $77,000, but below $100,000. However, given the volatility of prices and the dynamics of fundamental factors, this is difficult to predict.
The community remains optimistic about what lies ahead. So far, Bitcoin prices have been trending at all-time highs, but the bullish momentum has declined sharply.
BTC bears in a dominant position
The daily chart shows that prices are still within the bear mark from March 5th. The candlestick had high trading volume and was wide ranging. For the uptrend to be valid, prices must cross the $70,000 mark based on increasing trading volume.
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Lower prices provide an incentive for issuers to explore Bitcoin exchange-traded funds (ETFs) to add to price declines. Their actions have boosted demand in recent weeks, lifting sentiment and prices. According to Coinstats’ Fear and Greed Index, there is “extreme greed” in the market.
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