Don’t Worry, Bitcoin Is ‘Only’ Expected to Hit $175,000, Says Analyst – BLOX

Bitcoin has lost 23% since hitting an all-time high earlier this year. That percentage has been going up and down because the price has been so volatile lately. But cryptocurrency analyst Caleb Franzen remains confident in Bitcoin in this cycle. He says the price could rise to $175,000.

The analyst is supported in his predictions by an Italian mathematician from the year 1200. His name? Fibonacci.

Bitcoin below trend line

Franzen focused primarily on the 200-day moving average, a measure that helps map out long-term trends. In one interview to Thinking about encryption Franzen noted that Bitcoin’s recent drop below these long-term averages could be worrisome.

In bull markets, prices usually stay above these levels. If the price drops, it could be a sign that we are entering a bearish phase.

But Franzen remains calm. He points out that similar declines have happened before, for example in August and June. And each time, Bitcoin quickly recovered. That gives him confidence that this could happen again.

What does this mean for the price of Bitcoin?

According to Franzen, once Bitcoin rises above the moving average again, it could see a strong rally. He compares it to a runner taking a step back and then sprinting forward at full speed. However, he warns that the first attempt to break above this average may not be immediately successful, given past trends.

“Bull markets are characterized by prices remaining above major short-, medium- and long-term averages,” he explains. “So if we now fall below those long-term averages, that’s not a positive sign; we’re probably in a bearish system.

Target price $175,000

Franzen also looks at the bigger picture. He believes that Bitcoin will remain… At a rate of not less than $175,000 It is achievable.

It uses the Fibonacci extension, a method based on mathematical principles dating back to the 13th century. Franzen has been committed to this goal for some time and believes that if Bitcoin reaches this level, other major cryptocurrencies like Ethereum and Solana could also make significant gains.

Although Bitcoin’s future is full of uncertainty, Franzen remains optimistic. His confidence is based on historical patterns and mathematical methods that have been used for centuries. We’ll have to wait and see if Bitcoin actually hits $175,000.