Bitcoin (BTC) Flashes Strong Bullish Signals, Targeting $100K Breakout This Month

Bitcoin is flashing strong bullish signals, with multiple technical indicators pointing toward an imminent price surge. By CoinCodex.

Bitcoin (BTC) is flashing strong bullish signals, with multiple technical indicators suggesting that the market is gearing up for a major breakout. Analysts are also eyeing key patterns, including a golden cross, a bullish rising wedge formation, and a potential $3.4 billion short liquidation event if BTC reaches $90,000.

At the same time, institutional and political adoption is ramping up, with reports of the Trump family investing in Binance.US (BINANCE:BNBUSD ), Russia secretly accumulating Bitcoin, and the White House doubling down on BTC support.

Meanwhile, CoinCodex's prediction model expects Bitcoin to break $100,000 by the end of this month, surpassing $150,000 in May, and reaching $180,000 in August. Could we be on the verge of Bitcoin's next big rally?

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Bitcoin Shows Strength With Golden Cross & Rising Wedge

Bitcoin's chart patterns are displaying some bullish signals, which may suggest that the market is readying itself for a breakout. Several key technical indicators—including the 50-day moving average (MA) crossing above the 200-day MA, known as a golden cross, and a rising wedge formation—are indicating sustained upward momentum.

Golden Cross - A Long Term Bull Market Signal

The Bitcoin golden cross has formed, as the 50-day moving average crosses above the 200-day moving average. This is a classic technical analysis signal that some traders use to detect the beginning of a sustained bull market.

Why It Matters:

The golden cross is a significant event for technical analysts, as it is often seen as alagging indicatorthat confirms an existing trend. In this case, the 50-day MA (which is faster-reacting to recent price changes) moving above the 200-day MA (which reacts more slowly to price movements over a longer term) signals that the bulls are in control and pushing prices higher.

Bitcoin Forms a Bullish Rising Wedge

Another bullish pattern emerging is the rising wedge formation, which typically signals a breakout to higher price levels. A rising wedge is a chart pattern that occurs when an asset's price is trading in an ascending channel, with each higher high and lower low becoming increasingly narrow.

Why It Matters:

Rising wedges are bullish chart patterns, which suggests that the bulls are losing momentum, and a reversal to the downside is possible. However, if the bulls can manage to push through the resistance at the top of the wedge, then it is likely that the wedge will breakout to the upside.

Short Liquidation Event Incoming: $3.4 Billion at Stake

If Bitcoin reaches $90,000, a massive $3.4 billion in BTC short positions will be liquidated, causing a short squeeze that could accelerate the rally even further. According to data from Glassnode, the Bitcoin short liquidation value at $90,000 is an all-time high.

Why It Matters:

Short traders are betting on an asset's price to go down. When an asset's price moves against a short trader, their position gets liquidated, and they lose money. In the case of Bitcoin, short traders have been hit hard in recent months, as the BTC price has rallied from lows of around $15,000 in November 2022 to highs of nearly $70,000 in March 2023.

This has led to a significant build-up of short positions, which are now at risk of being liquidated if the Bitcoin price continues to rise.

Trump Family Holds Binance.US Deal Talks

A new report by the New York Post claims that the Trump family has been discussing a potential investment in Binance.US with members of the firm. The report also adds that members of the Trump family, including Donald Trump Jr., Eric Trump, and Lara Trump, are keen on investing in cryptocurrency startups.

Why It Matters:

This development could be a significant factor in boosting Binance.US's presence in the U.S. market. Binance.US is a leading cryptocurrency exchange in the U.S., but it has faced difficulties in recent months due to regulatory scrutiny and the departure of key executives.

An investment by the Trump family could provide Binance.US with the financial and political capital it needs to overcome these challenges.

The Trump family has also been making other investments in the cryptocurrency space. Earlier this year, Donald Trump Jr. and Eric Trump reportedly invested in a Bitcoin mining startup.

Political Interest In Crypto Is Surging

Russia is quietly accumulating Bitcoin (BTC) as part of a broader strategy to increase the country's digital gold reserves, according to a new report by the Financial Times. The report, which cites three people familiar with the matter, says that Russia has been diverting a portion of its foreign currency holdings into Bitcoin