The cryptocurrency market has been a rollercoaster ride for investors, with Bitcoin’s recent price movements causing a stir in the community. After a significant breakthrough above the psychological resistance level of $25k, hopes were high for a new bull run.
However, as the daily bar closed with a bearish outlook, that optimism quickly evaporated, leaving many traders scrambling to reassess their positions. As the market continues to fluctuate, the future of Bitcoin remains uncertain, with many investors eagerly anticipating the next big move.
According to the latest crypto market data, Bitcoin price rallied to as high as $26.5k after the release of CPI data, which matched expectations. However, the top digital asset by market capitalization declined to trade at around $24.6k on Wednesday.
Banking Crisis Causes Investors To Flock To Crypto
Confidence in Bitcoin has significantly increased following the collapse of three regional banks in the United States. Additionally, the largest shareholder of Credit Suisse, a bank with over $578 billion in assets, has indicated financial constraints to offer further support. As such, Credit Suisse’s shares, a bank that has existed for over 100 years, have declined over 96 percent from the ATH.
With more banks expected to announce financial bottlenecks in the near future, cash inflows to the top digital assets, including Bitcoin and Ethereum, are expected to rise exponentially.
Bitcoin’s $100k Roadmap
According to Charles Edwards, founder of Capriole Investments, Bitcoin price is en route to trade above $100k. Without stipulating the timeline for when Bitcoin will reach $100k, Edwards spotted a bullish pattern dubbed Bump And Run Reversal (BARR) on the weekly chart. With Bitcoin price bouncing off the weekly logarithmic downtrend, Edwards forecasts it is only a matter of time before the next exponential rally kicks in.
Notably, the analyst compared Bitcoin’s price with a chart pattern developed by Thomas Bulkowski, also included in his book “Encyclopedia of Chart Patterns”. The analyst cautioned traders as the chart pattern could fail as other macro fundamentals also influence Bitcoin price.