Bitcoin is headed for ATH after rising over 90% since its July low.

BTC is currently trading for $ 57,400, about 11.4% below its April ATH. The recent rally in BTC and ETH is contrasted against a backdrop of assets like stocks, bonds, and gold. The world market is full of turbulence.

Bitcoin price 4-hour chart | Source: Tradingview

Vijay Ayyar, Asia-Pacific regional director of Singapore-based exchange Luno, said Bitcoin could hit record highs of around $ 80,000 to $ 85,000 based on multiple chart patterns. He added that $ 50,000 will be held as a solid foundation for the short term.

The following graphics provide the outlook for Bitcoin and ETH from technical trends and over time as well as option positions.

Breaking out

Bitcoin’s upward movement triggered an inverted head and shoulders chart. The target price from this pattern is around $ 79,000, which is nearly $ 65,000 above the April ATH.

Head and shoulder patterns. Source: Bloomberg

Dynamic Power

A study of Bitcoin and ETH price dynamics using the popular Ichimoku cloud tech shows more bullish signals if history repeats itself. The short-term momentum has risen above the long-term trend. In the last 5 years, both tokens are significantly higher 1 year after each such crossover.

NScloudy Ichimoku. Source: Bloomberg

Option contract

One look at a position in the options market shows that the trader is betting on a bullish continuation. The number of open positions (OI) for calls with an exercise price of 80,000 US dollars, which expire in December 2021, far exceeds the put OI of 40,000 US dollars, according to the exchange.

Options say Bitcoin will have a range of 40,000 to 80,000 by the end of the year.

Open contract from 11/10 | Source: Deribit

Price increase in October

Bitcoin outperformed ETH in October 2018, 2019, 2020 and the pattern holds up again this month. On average over the past 3 years, Bitcoin led ETH by around 13% in October.

Bitcoin, ETH yields and spreads in October Source: Bloomberg

You can see Bitcoin, ETH price here.

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Disclaimer: This article is for informational purposes only, not investment advice. Investors should research carefully before making a decision. We are not responsible for your investment decisions.

Minh Anh

According to Bloomberg

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