Bitcoin must hit ‘higher highs’ to confirm uptrend after falling below $58,000

One cryptocurrency analyst says Bitcoin must avoid falling below $56,000 if it is to maintain its long-term uptrend.

One cryptocurrency analyst says Bitcoin’s next move needs to print a bullish “higher high” on the price chart to keep its uptrend intact after its recent drop below $58,000.

“We really need to start to break out of this and make higher highs to further confirm that we are in the uptrend that we have been in since August,” cryptocurrency analyst Matthew Hyland explained in an analysis video on Aug. 30.

Bitcoin must fall below $56,000 to sustain uptrend

“Bitcoin needs to hold above the $57,700 level, however, if it’s going to go down, it does ultimately need to hold the $56,000 level, and if we were to lose this $56,000 level, it would be a lower low,” Hyland added.

However, some traders believe that Bitcoin

Bitcoin

$58,965

A sharp move lower is needed before the uptrend resumes.

On August 7, 10x Research head of research Markus Thielen advised market participants to wait for Bitcoin prices to “drop to the low $40,000s” in order to pick the best time to enter the bull run.

At press time, Bitcoin is trading at $59,218, having rebounded from a decline to $57,925 in 24 hours, according to CoinMarketCap.

Hyland reiterated that Bitcoin has been making “higher lows and higher highs, higher lows, higher highs” since early August, noting that there were “significant pullbacks” in both early July and early August.

Overall, Hyland believes that Bitcoin will continue to see “some volatility” ahead of the U.S. presidential election on November 5.

He also believes that September was "mostly sideways, the worst month in Bitcoin's history."

However, Bitcoin price action in September may not reflect the “boring” trends of previous years, as selling pressure from Bitcoin miners has stabilized and stablecoin supply ratios are showing bullish signs, according to recent reports.

Meanwhile, anonymous cryptocurrency trader Jelle shared with their 91,000 X followers that a multi-year zoomed-out view of the Bitcoin price chart suggests that Bitcoin could still hit the six-figure mark in the short term, which is what many traders have been speculating on.

“This multi-year cup and handle pattern has a 6-figure target,” Jelle wrote in an Aug. 30 post.

“Many people have given up at this point, but I’m pretty sure we’ll be closer to this goal by the end of this year,” added Yelle.