Many cryptocurrency investors are turning their attention to the Bitcoin price movements as we enter October, often dubbed “Uptober” for its historically positive performance. Despite a generally bullish sentiment for the past two weeks, Bitcoin’s price action has been difficult to predict, leaving market participants uncertain about its next move.
Interestingly, crypto analyst Ali Martinez offers an intriguing perspective on BTC’s future trajectory. According to Martinez, Bitcoin’s current price pattern resembles the formation of a “cup and handle,” a classic bullish signal. Based on this pattern, Martinez projects that Bitcoin could rise to a target range between $194,000 and $352,000.
Cup And Handle Pattern: What Does This Mean For Bitcoin?
The “Cup and Handle” pattern is a widely recognized chart formation in technical analysis, often signaling the potential for a long-term bullish breakout. Although yet to be fully formed, Martinez only highlights that the current price action resembles a cup and handle formation.
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Martinez recently shared a detailed Bitcoin/U.S. Dollar chart on social media platform X, drawing attention to the emerging pattern. According to his analysis, Bitcoin has already completed the “cup” portion of the formation and is now in the “handle” phase. The cup portion of the pattern begins with BTC’s previous all-time high in 2021. Following this, the cryptocurrency endured a prolonged downward trend through the bear market of 2022. As Bitcoin began to recover in 2023, it entered a new bull market in October 2023, culminating in a fresh all-time high in the first quarter of 2024.
Since then, however, Bitcoin has corrected significantly and has yet to return to this all-time high. This correction resembles a handle pattern to complement the cup formation.
The cup and handle pattern formation is one of the most reliable bullish patterns in trading. If Bitcoin follows through on this pattern, a final playout is setting up the stage for a strong positive performance in the coming months. Martinez noted that if Bitcoin successfully completes the handle phase and breaks out to the upside, it could lead to long-term targets at $194,000 and $352,000, which represent 202% and 420% increases, respectively, from the current price level.
What’s Next For BTC?
At the time of writing, Bitcoin is trading at $63,910, reflecting a 2.63% decline over the past 24 hours. This downward movement has pushed BTC back below the $65,000 price level. Despite this dip, investor sentiment remains optimistic, as the Fear and Greed Index indicates a leaning toward greed.
On-chain analytics platform Santiment advises crypto investors to slow their roll. According to the platform, the majority of investors are anticipating a new Bitcoin all-time high very soon. Notably, there are currently 1.8 bullish posts toward BTC for every one bearish post. However, Santiment highlights that markets often move in the opposite direction of popular expectations.
