A veteran trader known for accurately calling the crypto market collapse of May 2021 believes Bitcoin (BTC) is gearing up for an explosive move.
Pseudonymous analyst Dave the Wave tells his 147,800 followers on the social media platform X that Bitcoin is trading in a narrow range, setting the flagship crypto asset up for a breakout.
He also shares a chart using his version of the logarithmic growth channel (LGC) curve, which aims to predict Bitcoin’s longer-term cycle lows and highs while filtering out shorter-term volatility.
“BTC closing in on the shorter-term target on the chart for some time now. With price coiling, wouldn’t be surprised to see an even greater move in the upper half of the LGC [logarithmic growth] channel.”
Looking at his chart, a move closer to the upper bound of the LGC channel would repeat a similar pattern that occurred in the 2021 bull market cycle top.
Next up, the analyst shares a chart of Bitcoin Fibonacci extension levels that suggest Bitcoin may rally to $190,000.
Traders use Fibonacci extensions in technical analysis to estimate profit targets and price pullbacks. They are based on Fibonacci ratios.
“One to post to those promoting regular [non-diminishing] BTC returns – the Fib comp shows the possibility of just the one more level to go.”
Bitcoin is trading for $106,124 at time of writing, flat on the day.
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Generated Image: Midjourney
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