Despite the sharp drop in Bitcoin's price before the weekend, it remains above $100,000. Since then, Bitcoin's price has rebounded from the $104,000 level, indicating that bulls are holding their ground at this important psychological threshold. Today, the cryptocurrency market seems to be at a critical moment, raising questions about the next direction. Can Bitcoin continue to rise? Or is this brief and lackluster bull market coming to an end?
Bitcoin's price still has a long way to go
Cryptocurrency analyst Dr. Profit has been outspokenly bullish on Bitcoin's price. Even when the entire community expects Bitcoin's price to continue to decline, he insists that the price will rise. In fact, this cryptocurrency analyst believes that despite Bitcoin having reached multiple all-time highs, the price could double in the future.
In an article on X, Dr. Profit explained the reasons behind this and why he believes there is still room for Bitcoin's price to rise. He first pointed out that a rare golden cross had appeared on the Bitcoin price chart. This occurred three weeks ago when the analyst noted the formation of the chart and explained that it means the bull market is not over.
This is because, in the past, every time Bitcoin experienced a golden cross, it indicated the beginning of a new round of significant increases. Just like now, after the golden cross, the price tends to drop by 10%, as seen when Bitcoin fell from $111,900 to $100,000. Today, the first phase of the golden cross trend seems to have been realized, and it is expected that other phases will exhibit similar trends.
Additionally, he explained that Bitcoin has also formed a diagonal resistance level and is currently seeking a breakthrough. Once it successfully breaks through, Bitcoin will return above $108,000, preparing for the next round of increases.
Macroeconomic factors supporting this argument
Not only do the technical indicators on the charts show that the economy may recover, but the consumer price index (CPI) data expected to be released on Wednesday also reflects this. Dr. Profit explained that Wall Street currently anticipates a CPI growth rate of 2.5%, which is a relatively high number.
On the contrary, he believes that the CPI will decrease, ranging between 2.1% and 2.3%. Lower data means a slowdown in inflation, allowing for more risk-taking and driving markets like stocks and cryptocurrencies higher.
Moreover, there is the issue of negative funding rates, which indicates that there are currently more short sellers in the market, expecting prices to decline. Coinglass data shows that Bitcoin's funding rate has dropped to one of its lowest levels this year, and analysts say this is a sign of market health.
Overall, I see a strong trend, and the market will continue to rise, with the first target between $108,000 and $110,000, and this is far from the end," said Dr. Profit. "The golden cross indicates that we will gain 70% to 170% in the coming months!"
