It looks like Bitcoin’s September price trajectory will be at a critical momentand carries the potential to develop in two very different directions. After the end of August on a bear noteleading cryptocurrency still show signs of weakness after September begins. The early days of the month have already shown Bitcoin heading further into bear territory, potentially signaling an extended period of capitulation for the rest of the month. However, given that we’re talking about BTC and we’re only three days into September, we could see the cryptocurrency rebound by mid-month.
Expanding on this speculation, a well-known cryptocurrency analyst who goes by the pseudonym Titan of Crypto (@Washigorira) on social media recently shared his thoughts on possible outcomes for Bitcoin this month.
Bitcoin Trajectory In September
According to his analysisThere are two main scenarios that could play out for Bitcoin in September. The first scenario predicts a rally that defies prevailing bearish expectations and surprises the market with an unexpected rally. The second scenario, however, involves a final capitulation phase in which Bitcoin could reach novel lows before beginning a significant recovery in the last quarter of 2024.
This analysis focuses on the Bitcoin/US Dollar (BTC/USD) chart observed on a weekly time frame. According to the current chart setup by @Washigorira, BTC has been tracking a price pattern that closely resembles a bullish expanding triangle since reaching its all-time high of $73,737 in March 2024. This particular pattern is widely recognized for its bullish signals. Despite the current short-term volatility, the long-term outlook for Bitcoin remains positive. As such, both scenarios noted by the analyst ultimately end in a bullish rally for Bitcoin.
In the first scenario, Bitcoin is It is expected to initiate significant price augment in September. This augment would be mighty enough to push the cryptocurrency above the upper trendline of a bullish expanding triangle, which has been a mighty resistance level for months. If BTC successfully breaks through this resistance, the price could potentially achieve a complete breakout and set the stage for a novel all-time high.
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As for the price target for this scenario, a complete breakout would see BTC reach $150,000 in Q1 2025. Interestingly, this mirrors the bull run from Q4 2023 that ultimately culminated in the latest all-time high in Q1 2024.
Second scenario presents a more cautious perspectivewhere Bitcoin continues to experience its current capitulation phase. This scenario predicts further declines for Bitcoin in September, potentially breaking through below $50,000 level. Such a drop could see BTC retest the August low at $49,800, which is a critical support level.
However, this scenario does not end on a bearish note. After this potential drop, Bitcoin is expected to reverse its downtrend in Q4 2024. This would lead to a bullish rally with a slightly more conservative price target of $100,000.
At the time of writing, Bitcoin is priced at $56,716.
Featured image created with Dall.E, chart from Tradingview.com
