Experienced cryptocurrency analyst and trader Kevin Svenson suggests that Bitcoin (BTC) is in the early stages of a parabolic rise. Svenson expects the largest cryptocurrency to rise sharply during this phase, with the rally potentially continuing up to the $60,000 mark.
Analyst Expects Bitcoin to Reach $60,000
Cryptocurrency analyst Kevin Svenson highlights on his personal account on the social media platform X (formerly known as Twitter) that Bitcoin tends to experience a parabolic rise in the years leading up to its block reward halving. The analyst draws attention to the upcoming block reward halving, expected to take place in April 2024, which traditionally serves as a catalyst for a price increase as it reduces the reward amount for Bitcoin miners by 50% per block they mine.
Svenson shared a chart showing that Bitcoin had reached $60,000 one month before the previous block reward halving, stating:
A famous parabolic rally is coming. While we speak, the conditions for this parabolic rally have already started to form. Will the rise be exactly like this? Of course not. But do parabolas form before every block reward halving? Yes.
While the cryptocurrency analyst anticipates an upward movement for Bitcoin, he emphasizes that BTC may face multiple corrections along the way to $60,000, stating:
I am on the side expecting an extreme rise in Bitcoin. A large parabolic rise is forming, but it will not be a straight line. Everyone is expecting an extreme rise. Do not be surprised if there are sharp drops along the way to liquidate late-opening long positions.
Two Possible Scenarios for Bitcoin in the Short Term
Svenson evaluates potential short-term price movements for Bitcoin and presents two bullish scenarios. According to the first scenario, the price could rise to the channel resistance level of $36,850.
The analyst’s second scenario suggests that Bitcoin may fail to hold its support level and continue the uptrend without filling the volume gap at $31,500. Svenson adds that both scenarios are bullish scenarios.
