Bitcoin (BTC) Hits All-Time High Above $112,000: Is the Next Explosive Rally Here?

The Bitcoin (BTC) surge over $112,000 finally arrived as was expected. It was just a matter of time. Since then, the $BTC price has been consolidating into what looks like a continuation pattern. Is a more explosive move about to take place?

$BTC makes new high

It wasn’t until 18:00 GMT on Wednesday, but once the powerful move began there was no stopping it. Around 2.68%, and nearly $3,000 later, the bulls managed to push the price just above the last all-time high. A new high has been made, so what next for the king of the cryptocurrencies?

Pennant forms on hourly time frame

Source: TradingView

After breaking out of the small descending trendline, the $BTC price arrowed upward and the bulls were just able to set a new all-time high. As can be seen by zooming into the very short time frame of the 1-hour chart, the price has been consolidating just below the high and looks to have formed a pennant. The price has recently broken out of this to the upside, and it just remains to be seen if the breakout will be confirmed. If it is, the measured move for the pennant is to around $114,000.

$BTC heading higher after testing breakout?

Source: TradingView

A short time later, moving out slightly into the 4-hour chart, but still very much in the short-term time frame, it can be seen that the price retraced below the 0.236, which is the shallowest of the Fibonacci levels, but since then the price has been bouncing from this level. 

The retest after the breakout has taken place, and it seems that the bulls are trying to drag the price higher. The main issue will be that short to medium time frame indicators are now showing as overbought, but that said, the price could probably still keep rising for a while given the momentum behind this surge.

Can $BTC climb above $130,000 next?

Source: TradingView

On the weekly time frame, the breakout is looking strong. The measured move for the bull flag would put the price well above $130,000. 

At the very bottom of the chart, the MACD is showing good separation of the two indicator lines and both are continuing to be angled upward. At the same time, the green histogram bars are gradually getting bigger. 

Moving up to the Stochastic RSI, the indicator lines are heading back to the top once more. If price keeps climbing, these indicator lines can continue to bounce along the top of the 80.00 level, signalling constant upside price momentum.

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.