Originally published on: October 20, 2024
Bitcoin’s price surge is set to steal the spotlight as it catches up with US equities, according to a fresh analysis by financial expert Caleb Franzen of Cubic Analytics.
Franzen’s recent blog post highlights the potential for a significant breakout in Bitcoin’s price, noting that it needs to rise to match the recent performance of the S&P 500, which has been hitting all-time highs again and again.
Comparing BTC/USD to the Invesco S&P 500 Equal Weight ETF (RSP), Franzen pointed out that Bitcoin has failed to reach new all-time highs against the S&P 500 and has been consolidating since its rejection at the 2021 record highs. He illustrated this trend with a regression channel chart.
He suggests that traders may consider going short on RSP and long on BTC for potential gains. The breakout in Bitcoin’s price implies a return to the “blue zone,” according to Franzen’s analysis.
Franzen also supports his bullish outlook on BTC/USD using the Williams%R Oscillator, which indicates further upside potential based on its 120-day iteration and historical bottom signals.
With Bitcoin currently trading at its highest prices since July 2024, investor confidence is on the rise, especially as stocks continue to hit record highs.
While long-term predictions point towards a new macro high in 2025, short-term projections also suggest further gains for Bitcoin’s price.
As BTC hovers below $69,000, breaking the final resistance could pave the way for price discovery and a potential parabolic phase.
Popular trader Rekt Capital highlighted the significance of Bitcoin’s recent price movements, emphasizing the historical significance of breaking above key resistance levels.
This analysis serves as a reminder that all investment decisions carry risks, and readers are advised to conduct their own research before making any financial moves. Stay tuned for more insights and updates on Bitcoin and market trends.
