TradingShot analyst predicts bitcoin will rise to $ 170,000 in a few months

As bitcoin is still trying to overcome and stay above the critical psychological price level of $ 60,000, experts are predicting a possible breakout in the near future. Thus, in his post on TradingView dated August 12, crypto analyst TradingShot suggested that BTC $96,008.97 Bitcoin -0.72% Market capitalization $1.9 trillion VOL. 24 hours $2.29 billion could reach $ 170,000 by early 2025.

According to his analysis, bitcoin has experienced a significant drop over the past two weeks, leading to a critical test of the 50-week moving average (1W MA50), a key indicator that is tested only once during a bull cycle. Despite the recent sharp drop, which provoked panic and mass liquidations, this movement can be interpreted as a natural correction within the current bull market, rather than a sign of imminent death.

Historically, bitcoin has tested this level only once during a bull cycle, making it an important support level. The recent drop below this level led to panic and liquidations as many feared it could signal the end of the bull market. However, from a technical perspective, this drop can be seen as an attempt by the market to realign and harmonize after an aggressive rise through March 2024.

The aggressive nature of this growth can be attributed to several factors, including increased interest from institutions, the wider use of BTC as a reserve asset, and the expectation of the emergence of bitcoin exchange-traded funds. These factors rapidly pushed the price of BTC upward, which necessitated a correction to bring the market back in line with the historical trend.