Why Bitcoin’s Next Target Could Be $93,000

Bitcoin (BTC) is down 2% in the last 24hours, trading at $81,698 after US inflation came in hot and raised the odds of another Fed rate hike. Compounding the decline is a cascade of long liquidations ($63.17 million in the past day) and a break below the $82,000 – $83,000 support zone. Institutions have also pulled away, with Bitcoin ETF flows turning negative since late September.

Source: CoinMarketCap

Despite the recent pullback, technical analysis now shows Bitcoin could be preparing for a $93,000 hit.

As seen below, Bitcoin has been trading in an ascending channel on the 4-hour chart since August. Should it bounce off the lower boundary of $80,000, BTC could rally to the mid-range zone of $88,000. At this point, maintaining positive momentum would pave the way for another move up to the top of the channel at $93,000.

Source: Ali Charts

Supporting this theory are the parallels seen between this year’s chart and that of 2023. In the latter, Bitcoin surged 40% shortly after the 50-day simple moving average (SMA) crossed above the 200-day SMA.

Even more, the Bitcoin Exchange Whale Ratio has been on a steady decline this past week. This is evidence that whales are actively moving their BTC away from exchanges to longer-term storage addresses, or rather hodling.