Why Bitcoin’s guarantee of $135,000 target could emerge this week

Bitcoin (BTC) may be on the verge of a major technical breakout that could come as early as this week, potentially targeting a record high of $135,000.

In this line, analysis by TradingShot indicated that the asset is set to form its first one-day golden cross in seven months, the last occurring on October 27, 2024, which could trigger an immediate surge, the analyst noted in a TradingView post on May 20.

This bullish signal, where the 50-day moving average (MA) crosses above the 200-day MA, has historically preceded strong rallies.

Bitcoin’s next price target

Notably, every one-day golden cross within Bitcoin’s two-and-a-half-year ascending channel has sparked a rapid price increase, with the smallest gain at 33.11%. The analyst projected a move to roughly $135,000 from the current price, aligning with the 0.236 Fibonacci level.

Further strengthening the case, the one-week Moving Average Convergence Divergence (MACD) has already flashed a bullish cross, a signal that preceded the last three golden crosses. These indicators suggest a breakout above Bitcoin’s previous all-time high of $109,000 may be imminent.

After bouncing back strongly from the trade tension correction, Bitcoin is regaining momentum within its rising channel.

Adding to the optimism, crypto analyst MikybullCrypto noted in a May 20 X post that, if confirmed, the golden cross could propel Bitcoin toward $145,000 based on historical patterns.

While sentiment remains bullish, Bitcoin’s momentum could face short-term resistance. The 14-day relative strength index (RSI) is 68, approaching overbought territory.

Still, Bitcoin remains firmly above key technical levels. For instance, the 50-day ($92,255) and 200-day ($86,257) simple moving averages sit well below the current price, reinforcing its strong upward trend.

Featured image via Shutterstock

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