Bitcoin’s price is showing renewed structural strength. Market analyst Gert Van Lagen anticipates a new phase of Bitcoin Wave 3 expansion. This phase could be starting now, having completed a corrective wave. The analyst notes that the pattern suggests a parabolic move is on the horizon.
According to Van Lagen’s model, BTC has once again rebounded from its 40-week simple moving average (SMA). This rebound indicates that the “Wave II” corrective phase is near completion. If the “Wave III” pattern develops as expected, the price targets for BTC are set between $200,000 and $240,000 in the coming months. Similar setups in 2019 and 2023 preceded strong bull rallies, suggesting the current consolidation could be the prelude to a significant rally.
This analysis uses the Elliott Wave model, which suggests a “step-like” behavior. Bitcoin appears to form a solid base before each major breakout. The current consolidation, therefore, might not be weakness, but rather the launchpad for the next big rally. Furthermore, other analysts like Jelle agree with this bullish view. Jelle observes key resistance near the midpoint of a long-term ascending price channel, suggesting even greater upside potential if breached.
Is the US economy about to boost cryptocurrencies?
On the other hand, broader macroeconomic conditions could soon favor risk assets. Researcher Sminston With noted that the US PMI has been below 50 for nearly three years. This is the longest economic slowdown on record since 1948. Historically, these prolonged downturns are followed by strong rebounds. Bitcoin, being a high-growth and speculative cryptocurrency, could be one of the main beneficiaries when confidence returns to the markets.
While the long-term structure looks bullish, short-term price action is seeking confirmation. BTC recently filled the CME futures “gap” and is now attempting to establish support above $105,000. Although futures open interest has decreased, reflecting lower derivatives activity, on-chain liquidation patterns show signs of a bullish reversal. If BTC manages to hold the current support, it would reinforce the broader bullish narrative outlined by analysts.
