Analysts point to two inverse 'head and shoulders' formations on the weekly Bitcoin chart, indicating a potential price target of $360,000.
Bitcoin Technical Analysis
On the weekly Bitcoin chart, two inverse 'head and shoulders' structures have been identified, suggesting the onset of a potential 'supercycle.' The first structure formed since November 2024 and was resolved in July with a breakout at $112,000. The projected upside for this pattern is $170,000, which is a 49% increase from current levels.
Recovery of Institutional Demand
The renewed interest in Bitcoin is supported by increased inflows into Bitcoin exchange-traded funds (ETFs). Over three consecutive days from Monday to Wednesday, inflows totaled $1.15 billion, with $752 million recorded on Wednesday, marking the highest influx since mid-July.
Forecasts and Conclusions
Analyst Merlijn The Trader stated: 'The inverted head and shoulders has now doubled.' Additionally, a short-term price target of $120,000 is predicted if Bitcoin remains above $113,000. Current market trends show Bitcoin could continue to gain traction and rise towards the suggested targets.
The current situation in the Bitcoin market, supported by technical analysis and rising institutional interest, creates opportunities for significant price movements.
