As Bitcoin (BTC) looks to reclaim the $70,000 resistance level, a crypto analyst has pointed out that chart patterns indicate a potential all-time high in the near future.
In an X post on July 20, CryptoCon offered a Bitcoin price forecast leveraging the so-called “Magic Bands.” These bands delineate several key levels Bitcoin has historically respected throughout its various market cycles.
The Magic Bands chart is divided into several key levels: Cycle 4 bottom band (level 0.25), level 0.75, level 1, level 1.5, level 2, level 2.5, level 3, and the cycle top band. Each of these levels represents a critical price zone that Bitcoin tends to interact with during its market cycles. The primary support levels have been pivotal in previous cycles, providing strong indications of Bitcoin’s price trajectory.
According to the latest analysis, Bitcoin has experienced a significant bounce from Level 2 of the Magic Bands, mirroring the behavior seen in previous primary band retests. In this light, CryptoCon highlighted the importance of this bounce, noting that it could lead to another all-time high above $90,000.
“A perfect bounce from Level 2 of the #Bitcoin Magic Bands, just like all the primary band retests that have come before it. Only one thing awaits… the move to Level 3 at $92,908. The Magic Bands continue their streak of fantastic accuracy,” CryptoCon stated.
The current analysis indicates that Bitcoin has bounced from “Level 2,” approximately $55,431, and is now eyeing a move to “Level 3,” projected at above $90,000. This move is seen as a continuation of the pattern observed in previous cycles, where Bitcoin progresses to the next higher band after finding support at a lower band.
The historical accuracy of the Magic Bands bolsters CryptoCon’s confidence in this prediction.
Next cycle top target
Looking ahead, the cycle top target is set at $125,916 and is projected to increase. This suggests that Bitcoin could potentially reach new all-time highs within this market cycle, provided it continues to follow the historical patterns outlined by the Magic Bands.
Indeed, as things stand, investors aim for Bitcoin to reclaim the $70,000 resistance level, which will reopen the door to an all-time high. At the moment, some analysts are projecting a bullish outcome in the short term.
For instance, in another post, crypto analyst Stockmoney Lizards notes that Bitcoin is poised to form the “Three Inside Up” pattern on its weekly chart, a strong bullish reversal signal. This pattern features a large bearish candle, followed by a smaller bullish candle within the first candle’s range, and a final candle closing above the 50% level of the first.
According to Stockmoney Lizards, Bitcoin is near this critical 50% level. If confirmed, this pattern could indicate the start of a new uptrend, boosting bullish sentiment and potentially driving Bitcoin’s price higher in the coming weeks.
Bitcoin price analysis
By press time, Bitcoin was trading at $66,940, having rallied about 0.5% in the last 24 hours. On the weekly chart, Bitcoin is up over 12%.
If the current momentum is sustainable, Bitcoin will likely reclaim $67,000, a key anchor towards hitting $70,000.
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