Bitcoin’s Dramatic Dance: Will It Waltz to $72k or Stumble into a Crypto Winter? 💃❄️

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Oh, darling! Bitcoin has decided to make a rather theatrical comeback, leaping above the illustrious resistance level of $84,000 after a rather dismal dip to a multi-month low of $78,200 on this fine Friday. 🎭

It seems our dear Bitcoin (BTC) has chosen to rise in tandem with the U.S. equities, which, after a bit of a sulk, have decided to perk up. The Dow Jones index, bless its heart, rose 165 points, while the Nasdaq 100 managed a charming gain of 80 points. How delightful! 📈

What could possibly be the catalyst for this recovery, you ask? Well, it appears that BlackRock, the grandest of asset managers, has kept its bullish hat firmly on, announcing plans to allocate a cheeky 2% of its model portfolio assets to its IBIT ETF. How positively optimistic! 🤑

And let’s not forget the rather encouraging personal consumption expenditure report from the United States, which has given Bitcoin a little nudge. Core PCE, that darling figure the Federal Reserve keeps a close eye on, rose a modest 0.3% from December and 2.6% year over year, marking its smallest increase since 2021. A round of applause, please! 👏

Now, the Federal Reserve officials are crossing their fingers, hoping inflation will continue its waltz toward the 2% target, which would allow for some delightful interest rate cuts. However, the plot thickens with Donald Trump’s recent hints at new tariffs possibly making their grand entrance in March. Oh, the drama! 🎭

Market analysts, bless their hearts, are as divided as a dinner party with too many opinions. In a rather riveting interview with crypto.news, Aurelie Barthere, the principal research analyst at Nansen, predicts that Bitcoin will enter a consolidation phase after its recent crash. She elaborated:

“We just had 4 large daily red candles on high volume after weeks of range-bound price action for BTC. After this type of “panic” selling, there needs to be a period of price consolidation with higher lows to confirm we resume higher (buyers slowly regaining confidence after having been burnt).”

On the flip side, Mark Cudmore, a rather cautious Bloomberg analyst, warns of further downside, suggesting Bitcoin could be heading into a prolonged crypto winter. He ominously stated:

“The real panic may be ahead of us still. Bitcoin always has another 70%+ crash in its future, by construction. $72k-$74k would appear to be the technical crunch zone that might trigger the next crypto winter.”

Bitcoin price analysis

Now, let’s talk about Bitcoin’s rather dramatic double-top pattern at $108,532, with its neckline positioned at a rather posh $89,000. The distance between the double-top and the neckline was a staggering 18%. How very mathematical! 📊

Applying the same distance from the neckline sets Bitcoin’s target at approximately $72,850, aligning with its highest level from March 2023. A drop to this level could be a bullish signal, marking the completion of the break-and-retest chart pattern. How thrilling! 🎉

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2025-02-28 21:20