Bitcoin has been looking to rise and consolidate above the $60,000 level lately, and crypto analyst TheMoonCarl believes that a break of this key resistance could lead to $125,000.
His more than bold prediction is based on a cup-and-handle pattern formation. TheMoonCarl cited the bitcoin price movement from 2021 to today as an example, emphasizing the formation of the cup part after BTC's decline in late 2021.
The cup part represents a period of consolidation and recovery where the bitcoin price gradually formed a rounded bottom, or a strong support level.
After the cup, the handle forms a brief period of consolidation or small correction, which bitcoin appears to be experiencing now. The analyst noted that if bitcoin successfully breaks out of this handle formation, and beyond the $70,000 level, the next price target could be $125,000. This figure is derived by adding the cup height to the breakout point.
Another analyst at TheScalpingPro opined that despite the recent volatility, bitcoin is capable of a bullish rally in the long term. In his opinion, bitcoin is forming a classic parabolic curve, often associated with strong bullish momentum.
The curve suggests that bitcoin could show rapid growth through each base with a potential peak target around $180,000. This parabolic rise could be followed by a sharp correction.
Bitcoin's current decline is partly due to a lack of interest from organizations in buying stablecoins. Analysts at the Lookonchain platform wrote on Aug. 12 that institutions stopped buying USDT two days ago.
This suggests a lack of buying pressure and a decline in investor interest in stablecoins, which are typically used as the primary way to transition from fiat currency to cryptocurrencies.
