Bitcoin Poised for Potential Parabolic Rally, Analysts Predict

In recent developments, several market analysts are forecasting a potential parabolic rally for Bitcoin (BTC) and the broader cryptocurrency market. This optimism comes amidst observations of undervaluation in both crypto assets and commodities, coupled with technical indicators suggesting a bullish outlook.

Undervaluation and Commodity Correlation

Michaël van de Poppe, a notable market analyst and entrepreneur, believes that both cryptocurrencies and commodities are “extremely undervalued.” In a September 15 post on X (formerly Twitter), van de Poppe stated:

“Commodities & crypto are extremely undervalued and it’s likely that commodities go into a 10-year-long bull market. I’m expecting a lot of upside from these two asset classes.”

He noted that commodities are currently valued at levels last seen in 2000 and 1971, suggesting significant room for growth.

Global Liquidity and Bitcoin’s Correlation

Raoul Pal, founder and CEO of Global Macro Investor, points to an incoming rise in global liquidity as a potential catalyst for the next Bitcoin bull rally. Pal argues that leading economies will be forced to refinance their debts, driving a global liquidity breakout in the US, Japan, China, and Europe.

“As global liquidity rises, cryptocurrencies will rise, as will other markets like the Nasdaq… Global M2 is also starting to rise,” Pal shared in a September 15 video on X.

This growing global liquidity could potentially flow into Bitcoin, given its high correlation with the M2 money supply.

BTC/USD Technical Analysis and Price Projections

Technical analysts are also weighing in with bullish projections. Titan of Crypto, a popular analyst, suggests that Bitcoin could reach $92,000 based on historical patterns. Analyzing the weekly chart, Titan noted:

“In previous cycles, when the price retested the 50-week simple moving average, it bounced at least 40%. On average, the bounce was 71%. If #BTC rallies 71% from here, it could reach $92,000.”

Other analysts, like Mags, suggest that the current correction could be the last buying opportunity before Bitcoin “goes parabolic.”

Long-Term Projections

Some analysts are even more bullish in their long-term outlook. A classic “cup and handle” pattern forming on Bitcoin’s chart has led independent analyst Elja to project a potential price range of $110,000 to $130,000 for BTC in early 2025.

Federal Reserve Meeting and Interest Rate Expectations

The upcoming Federal Reserve meeting on September 18 is being closely watched by the crypto community. Many analysts expect an interest rate cut, which could potentially catalyze a Bitcoin breakout in October.