Key Points
- Bitcoin [BTC] recently hit a new all-time high of $103.7k.
- Despite recent gains, the bull run may still be in its early stages.
Bitcoin [BTC] recently reached a new all-time high of $103.7k, followed by high volatility and a price correction to $90.5k.
The nomination of pro-crypto Paul Atkins for the U.S. Securities and Exchange Commission (SEC) Chair may have contributed to Bitcoin’s price increase.
Bitcoin’s Current Position on the Rainbow Chart
At the time of writing, Bitcoin’s price is still in the “accumulate” zone on the Bitcoin Rainbow Chart. This is seen as encouraging news as BTC recently broke the $100k barrier, a significant psychological level.
In December 2020, Bitcoin’s price was also in the accumulate zone and valued at $19k. Six weeks later, it had nearly doubled, trading at $36k, and was within the “HODL!” yellow zone.
Assuming a similar scenario during this cycle, the price could be at $200k in the next six weeks. However, given that Bitcoin’s price appreciates less explosively over the cycles, a $200k expectation might not be realistic.
Potential for an Extended BTC Run
Even if we dial down expectations on the Bitcoin Rainbow Chart, we could expect BTC to trade at $150k six weeks from now. If the “HODL!” yellow band is reached by March, Bitcoin’s price could be predicted to be $217k.
The current cycle might take an extended amount of time to play out, potentially pushing it towards May 2026 or even later. If this happens, it would be long-term bullish, as the Bitcoin Rainbow Chart predicts even higher prices for Bitcoin over the next 18 months.
Investors can conclude that Bitcoin is still a long way from this cycle’s targets, and they should expect a highly volatile journey.
The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.
