- The cryptocurrency market is showing positive signs with a significant breakout on the 78-week chart, indicating the start of the third bull wave.
- According to his analysis, Bitcoin is expected to reach $50,000 within four months, representing an impressive 43% increase from its current price.
- Expectations of ETF (Exchange-Traded Fund) approvals and the planned Bitcoin halving event in April are expected to have a significant impact on Bitcoin’s price trajectory.
A well-known trader predicts a $50,000 short-term target for Bitcoin based on an examination of Bitcoin’s correlation with the S&P 500 (SPX).
Bitcoin Price Could Soon Reach $50,000
The cryptocurrency market is showing positive signs with a significant breakout on the 78-week chart, indicating the start of the third bull wave. Furthermore, Bitcoin’s four-year correlation with the S&P 500 (SPX) has dropped, affirming its status as a reliable investment hedge.
Adrian Zduńczyk, a renowned crypto trader, conducted an extensive technical analysis of Bitcoin’s price trajectory. According to his analysis, Bitcoin is expected to reach $50,000 within four months, representing an impressive 43% increase from its current price.
Expectations of ETF (Exchange-Traded Fund) approvals and the planned Bitcoin halving event in April are expected to have a significant impact on Bitcoin’s price trajectory. To support his prediction, Zduńczyk points to several key indicators that suggest an imminent price increase.
Bitcoin’s trading volume increased in October, indicating anticipated high market activity heading into November. Increased trading volume often signals growing interest and participation levels and is favorable for a bullish trend. Additionally, the Relative Strength Index (RSI) indicates signs of an impending breakout and significant price fluctuations in November.
The “golden cross” is forming, where the 50-day simple moving average (SMA) crosses above the 200-day SMA, signaling a dominant bull market. Currently, the 50-day SMA is steadily rising at the $27,714 level, while the 200-day SMA is at $28,174. With such bullish sentiment in the market, experts expect the next Bitcoin price target to be approximately $40,000.
Price Correction Ahead…
However, Zduńczyk also highlights the possibility of a short-term price correction in the near future. In the event of such corrections, Bitcoin’s price could drop to the $33,400 level, indicating consolidation and narrowing momentum bands. Despite potential fluctuations, the main support level for Bitcoin is currently at $33,000, signaling strong control by the bulls in the market.
