Bitcoin has had an impressive climb, reaching a new all-time high of around $90,000 on Tuesday before it started a minor retracement.
The latest milestone comes following a 30% price spike last week after Donald Trump’s win in the US presidential election. The question now is: where is the Bitcoin price headed next following the long-anticipated rally?
Pi Cycle Top Indicator Sees a December/January Top
Crypto analyst CryptoCon’s on X discusses the Pi Cycle Top indicator, particularly the 350-day moving average (DMA) multiplied by 2.
This indicator has a history of accurately predicting Bitcoin’s cycle peaks. Currently, it suggests that the next significant peak could be around $118,928.
This estimate corresponds with historical patterns, which typically see cycle peaks emerge in December or January during what the chart designates as the “Red Year,” indicating that such a peak may be imminent.
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BTC Price Bounces off Gaussian Support, Eyeing Spikes Above $118k
Additionally, the analyst points out a recent retest of the Gaussian moving average support. Following a mid-cycle top, the successful bounce from this support level is interpreted as a bullish foundation, suggesting that Bitcoin’s upward momentum could persist as it approaches the Pi Cycle Top target.
The Gaussian moving average is a critical tool for assessing trend strength and has historically functioned as a support mechanism during previous bull cycles, indicating that Bitcoin may be well positioned for further gains.
The analysis also draws on historical cycles, referencing previous BTC peaks in 2013, 2017, and 2020, where similar patterns were observed.
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If Bitcoin follows these historical trends, the analyst suggests that it could potentially reach the projected top of $118,928 between December 2024 and January 2025.
Market sentiment plays a crucial role in this analysis. The analysis notes that this potential rally comes after “7 months of sideways price action.” Such prolonged consolidation often leads to pent-up buying pressure, which can trigger strong price movements once a breakout occurs.
The recent ATH and the presence of bullish indicators may further amplify positive sentiment surrounding Bitcoin.
