A cryptocurrency analyst predicted a significant upside breakout for Bitcoin, drawing parallels to similar breakouts in classic assets in line with gold and the S&P 500. According to technical analysis of the current price action, Bitcoin is reproducing a cup and handle pattern that could send it are moving towards bullish price targets over $230,000.

Bitcoin cup and holder cascade

According to technical analysis, Bitcoin appears to be forming a textbook cup and handle pattern on the longest time frame, which is a bullish continuation pattern that often leads to grave price increases. This pattern usually indicates a period of consolidation followed by an upward breakout, and if the pattern fully holds true, Bitcoin could soar to up-to-date heights.

In a recent analysis shared on social media platform full scale in 2023. This breakout sent gold to up-to-date highs, which it has held until the time of writing, and the gold price is currently above $2,730 at its all-time high.

Similarly, the analyst highlighted a similar cup and handle pattern on the SP500, which ultimately led to the rally that began in slow 2023 and culminated in up-to-date highs for the index.

Van Lagen emphasized that Bitcoin has been following a similar pattern since the 2022 bear market. The “cooking” part of the pattern was completed when Bitcoin reached its all-time high in March. Now Bitcoin is in the process of creating the “handle” part of the pattern because cryptocurrency it has not yet reached its all-time high in the last seven months.

If the trough pattern ends and a breakout occurs, Bitcoin could be on the verge of a powerful rally, much like Gold and the S&P 500 experienced during their respective periods.

BTC up to $230,000

According to van Lagen, Bitcoin “is poised to follow the structural path of the SP500 and gold.” As for the price target, he predicted a target amount of $230,000 for Bitcoin.

At the time of writing, Bitcoin is trading at $67,350. Reaching the $230,000 price level would require a 197% price augment from the current price.

Interestingly, van Lagen’s forecast is just one of several bullish outlooks that have resurfaced as Bitcoin’s price has shown positive momentum from the second week of October. Bitcoin rose about 13.5% from $59,500 on October 10, prompting a return to bullish sentiment.

According to the report, this has resulted in an augment in Bitcoin accumulation by long-term holderswho are holding on now 2.9 million BTC. Another analyst noted that Bitcoin is on track to double in value and reach $130,000 by January 2025

Featured image created with Dall.E, chart from Tradingview.com