Bitcoin targets 61% rallies at unprecedented prices, breaking from multi-year resistance levels whenever it reflects gold performance.
Bitcoin, the largest cryptocurrency by market capitalization, has been on a bullish run since April, rebounding from around $74,000 to regain its six-figure valuation. Interestingly, Gold has a similar run, on a course that prints six consecutive uptrends in a month’s time slot.
Gold breakout and possible impact of Bitcoin
In particular, Gold, the largest asset that exists at a market capitalization of $22 trillion, has recently been destroyed by major structures. Analyst Galaxy attracted the attention of the crypto community in a June 20 post highlighting the potential impact on Bitcoin.
For perspective, gold has been trending within the triangle for over 12 years, after winning $1,920 in September 2011. After two failed attempts in August 2020 and March 2022, Kim violated the structure’s upper resistance in April 2024.
With a breakout from the chip at $2,086, Gold scored an impressive 61.4% at its current market price of $3,368. Precious metals went back to current prices before reaching a new history high of $3,500 in April.
Bitcoin, meanwhile, has shown a strong delayed correlation with gold over the past 12 months. Both assets are rising in turn, followed by Gold Reading and BTC. As a result, Galaxy has caused price growth to a new all-time high, suggesting that Bitcoin could be the next one to break out of a similar pattern.
BTC Pearson correlation
Is Bitcoin next?
Galaxy highlighted that Bitcoin has been in high value for 15 years and shows no signs of slowing down anytime soon. He further emphasized that Bitcoin formed a similar price pattern with gold, but highlighted it in the weekly time frame.
For context, Crypto’s firstborn is currently popular within multi-year symmetrical triangles, originating from the April 2021 up to $65,000. In November 2021, we retested a $69,000 top resistance, where we faced strong rejection.
Meanwhile, Bitcoin retested resistance twice this year, bringing its highest ever high on each trial. BTC reached $109,354 on January 20th, and on May 19th its current highest peak was $111,965.
Gold breakout compared to Bitcoin
Analysts now support Bitcoin to reflect gold breakouts and an unprecedented surge to prices. The pioneering cryptocurrency will reach a new high of $181,000, as BTC has copied Gold’s 61% rally after the breakout, ignoring resistance from its current high of $112,000.
At the time of writing, Bitcoin is trading at $103,762, about 74% away from Target.
