Justin Benett thinks Bitcoin might rise above USD 26,500 after beating the bears in the USD 30,000 area. The analyst said BTC must trade above USD 23,450 and USD 24,500 to confirm the breakout.
Leading cryptocurrencies like Bitcoin (BTC), Ether (ETH), Cardano (ADA), and Solana (SOL) seem to be back in the green.
The price of Bitcoin has rebounded from USD 24,000 to USD 24,573 after rising by 2.50% within 24 hours.
Cryptocurrency analyst Justin Bennett predicted that the pioneering cryptocurrency would rise by 50% soon.
The trader stated that Bitcoin might reach USD 26,500 if it exceeds USD 24,200. Since the leading crypto asset is trading above USD 24,400, that target seems likely.
Bennett forecast an immediate resistance near USD 25,000 if Bitcoin reaches above USD 23,450 and USD 24,200. He said the resistance barrier following USD 25,400 lies at USD 26,000 and USD 26,500.
In addition, the strategist thinks Bitcoin might rise above USD 26,500 after beating the bears in the USD 30,000 area. It might only reach USD 38,000 by achieving a 46% surge from its current trading price.
A Price of USD 30,000 Is Crucial to the Bitcoin
According to Bennett, the USD 30,000 price area is relevant, as it was the consolidation range in May.
He said that Bitcoin must trade above USD 23,450 and USD 24,500 to confirm the breakout. However, the original cryptocurrency is above those price levels.
The analyst also refers to inflation, saying that the US inflation rate has always influenced the price of Bitcoin. He believes that rate hikes will see a breakout and a bullish market if the inflation rate falls.
The recent release of the Consumer Price Index (CPI) confirmed that US inflation plummeted to 8.5% in July. However, it is only a matter of time before seeing how the behavior of the market influences the cryptocurrency.
The Ethereum Merge Might Be More Significant Than the Bitcoin Halving
After the final Goerli testnet, market sentiments have dissipated without significant technical complications. That has raised expectations that the Ethereum Merge scheduled for September will occur without relevant failures.
The Merger might be a more relevant event, as the upcoming rally could increase the DeFi and NFT space. A shift in sentiment from Bitcoin to Ether (ETH) traders has forced the price of BTC to consolidate within a tight range.
The introduction of the ETH staking mechanic will prevent traders from withdrawing their tokens for at least six months after the Merge. That might reduce the current supply, increasing the demand and the price.
In contrast, the Bitcoin halving reduces the income for miners by half every four years, aiming to maintain deflationary activity. Although they receive fewer coins for their cost, the post-halving rally could cover their losses.
Bitcoin is trading at around USD 24,429 and has accumulated a 5.2% gain over the last week. While its daily trading volume is above USD 27.23 billion, its market capitalization is about USD 466.90 billion, according to CoinGecko.
By Alexander Salazar