Crypto traders woke up on a green note. The crypto market today is up by more than 5% and most tokens are looking green. Bitcoin specifically managed to rebound high and surpass the psychological price of $30,000. In addition to this surge in prices, and from a technical perspective, Bitcoin prices broke a resistance trendline. Will this signal a new Bitcoin boom in prices? Is Bitcoin up for the next week? Let’s assess in this Bitcoin price prediction article.
Bitcoin Price broke an important trendline
Since May 10th of this year, Bitcoin prices have entered a descending triangle formation. This pattern usually signals a short-term consolidation before a breakout upwards or downwards. To confirm this pattern, we did see previously a consolidation in Bitcoin prices. This consolidation was delimited between the $28,000 and $31,000 price marks. In figure 1 below, we can clearly see how the buying side was able to keep prices higher than the support price of $28,000. Only once were prices able to do a fakeout, reaching a low price of $27,000.
Today, prices managed to break the upper trendline of the descending triangle. To confirm that this would not turn into a fakeout, we need to await prices to hold higher for the next day. If prices pass the test, we can then safely assume that an uptrend is forming.
Bitcoin Price Prediction – A Bitcoin Boom towards which price?
Since prices managed to break the upper trendline, we assume that prices will stay higher and not turn into a fakeout. If this happens, prices can proceed to the next resistance area which is the $35,800 price mark as a first target. After that, Bitcoin prices can proceed to the following important price of $38,000. As this price is very close to the psychological price of $40,000, we might expect some strong resistance from day traders. Those guys will basically be actively liquidating to take their profits from their BTC positions that are open since the price of $30,000.
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