Bitcoin’s Next Big Move: Analyst Predicts Explosive Growth Above $118,000

Bitcoin’s price has recently consolidated around the $116,000 mark, leaving investors wondering if another bull run is on the horizon. A prominent on-chain analyst, Joao Wedson, CEO of Alphractal, offers a compelling perspective.

Wedson suggests Bitcoin is poised for a significant rally, but only if a crucial condition is met: a decisive break above $118,000. This level, he explains, represents a confluence of key on-chain indicators signaling potential resistance.

Alphractal’s proprietary metrics, the CVDD Channel and the Fibonacci-Adjusted Market Mean Price, both pinpoint $117,000 as a zone of strong interest and indecision. The CVDD Channel, based on coin destruction data and Fibonacci envelopes, estimates historical price floors and risk zones. The Fibonacci-Adjusted Market Mean Price combines market mean price with Fibonacci bands to identify structural expansion and value areas. Historically, these indicators have proven remarkably accurate in identifying support and resistance levels for Bitcoin.

While $117,000 presents a potential hurdle, Wedson emphasizes the importance of a sustained break above $118,000 as confirmation of renewed bullish momentum. Only then, he argues, can investors confidently anticipate the next explosive upward move.

Bitcoin’s Current State: At the time of writing, Bitcoin trades around $115,905, showing little movement in the last 24 hours. This consolidation phase underscores the importance of Wedson’s $118,000 threshold.

Conclusion: Wedson’s analysis provides a compelling case for Bitcoin’s future potential, but underscores the need for caution. A sustained breakout above $118,000 is crucial for confirming the resumption of a significant bull run. Investors are advised to monitor this price level closely.