empty
07.02.2024 09:24 PM
Bitcoin is on the verge of parabolic growth

Renowned crypto analyst Peter Brandt, assessing the current dynamics of the leading cryptocurrency, stated that Bitcoin is on the verge of parabolic growth. His bullish statement, based on the Elliott Wave Theory, claims that recent BTC charts seem to mimic a pattern indicating potential parabolic acceleration in the price growth of Bitcoin. Brandt notes that Bitcoin is in the final phase of the downturn and is about to start a new upward cycle.

The expert points out that the price of BTC demonstrates a continuous upward trend along the support line of the parabolic formation. In this formation, Bitcoin follows a four-stage cycle: crash, bump, bump, and decline. Accordingly, BTC has already experienced the "dump" phase and is at the beginning of a new cycle.

Although this indicates the start of a new bull market after the cryptocurrency's downturn phase, Brandt notes that BTC is in a new growth phase. He stressed that such cyclical regularities have repeated in the past and is repeating again.

As a result, if Bitcoin maintains the support line of the parabolic ascent formation and surpasses resistance levels, the parabolic growth predicted by the analyst for Bitcoin will occur. However, if BTC fails to hold the support level, the expected growth may be postponed.

This image is no longer relevant

What's happening on the macro level: Reflecting on the events of the past year

Stepping away from the local technical picture, let's look at events happening on the macroeconomic front. In the first quarter of last year, a significant event occurred that affected cryptocurrency markets. We witnessed the collapse of regional banks that did not properly adjust their risks as the Federal Reserve quickly raised interest rates. It seemed that the situation was resolved at that time thanks to the Fed injecting more liquidity into the markets and selling troubled banks.

Numerous banks, including Signature Bank—which focused on cryptocurrencies—went bankrupt. One of these banks, whose shares fell by almost 60% in 2024, raised the question of whether similar events could happen again.

As the first anniversary of the initial shocks approaches, shares of New York Community Bancorp (NYCB) lost 30% of their value in just five days.

What's happening in 2024

A year later, the bank's shares continue to cause concern. Some experts believe this signals a period reminiscent of events from the previous year. Benjamin Cohen noted the bank's market value falling to 1997 levels, indicating that investors remain unprotected.

In March 2023, Bitcoin experienced sudden fluctuations as regional banks began to collapse, and the Bank Term Funding Program (BTFP) of the Federal Reserve helped alleviate the burden of troubled banks. However, the program was halted, and now banks have to act independently.

Former CEO of BitMEX, Arthur Hayes, had previously emphasized the risk of volatility associated with this situation. Hayes suggests that BTC could see an impressive recovery after falling to $30,000 if a similar scenario unfolds.

The losses of NYCB led to another downgrade by the rating agency Moody's. The Chinese CSI 1000 index also suffered losses of trillions of dollars in the last quarter and fell by 8% on February 5th when it was announced that there would be no bailout.

All of this indicates that, while macro-level fluctuations continue, the price of Bitcoin may also experience significant volatility. We might be in the early stages, but there is a possibility that these discussions will become a reality in the coming months.

Ekaterina Kiseleva,
Analytical expert of InstaTrade
© 2007-2025
Earn on cryptocurrency rate changes with InstaTrade
Download MetaTrader 4 and open your first trade

Recommended Stories

Deep corrections and crypto winters are over for Bitcoin

After briefly pausing in response to Friday's news about President Trump signing three new bills regulating the digital asset market in the US, Bitcoin resumed its upward movement and reached

Jakub Novak 10:46 2025-07-21 UTC+2

Trading Recommendations for the Cryptocurrency Market on July 21

Bitcoin spent the weekend relatively calmly, trading within the range of $ 117,000 to $ 118,500, while Ethereum posted a solid gain, updating its monthly high to around $ 3,800

Miroslaw Bawulski 10:22 2025-07-21 UTC+2

Trading Recommendations for the Cryptocurrency Market on July 18

Bitcoin returned to the $121,000 mark today, but failed to hold above it. Ethereum broke through the $3,600 level. In addition to the fact that all necessary cryptocurrency-related bills passed

Miroslaw Bawulski 08:42 2025-07-18 UTC+2

Solana has the potential to continue its rally to the next resistance level on Friday, July 18, 2025.

Solana – Friday, July 18, 2025. With a Golden Cross condition between the EMA (50) and the EMA (200) as well as the RSI (14) in the neutral-bullish area, there

Arief Makmur 07:02 2025-07-18 UTC+2

Bitcoin Forecast for July 18, 2025

Yesterday, Bitcoin tested the support level of 117,730 with a long lower shadow on the daily candle and closed the day above the inner line of the green price channel

Laurie Bailey 04:46 2025-07-18 UTC+2

Trading Recommendations for the Cryptocurrency Market on July 17

Bitcoin attempted several times yesterday to break above the 120,000 level but failed to succeed. Ethereum, on the other hand, completed its task and easily jumped from 3,100 to 3,300

Miroslaw Bawulski 09:05 2025-07-17 UTC+2

Some market makers fix profits

Meanwhile, as Bitcoin rebounded to the $119,000 level, some major players in the cryptocurrency market were quick to take profits after recent large price movements. Investment firm Ark Invest

Jakub Novak 13:22 2025-07-16 UTC+2

Trading Recommendations for the Cryptocurrency Market on July 16

Yesterday, Bitcoin experienced a modest correction but overall remained above the $117,000 mark, clearly indicating that its bullish prospects remain intact — it just needs a catalyst. Ethereum climbed back

Miroslaw Bawulski 09:51 2025-07-16 UTC+2

Bitcoin in limbo

Bitcoin buyers appear to be somewhat confused, as the FOMO currently dominating the market could backfire on those trying to jump on the "last train", — which, in reality

Jakub Novak 15:34 2025-07-15 UTC+2

Crypto week

While Bitcoin and Ethereum are undergoing a correction and doing so rather effectively, lawmakers and cryptocurrency advocates in the United States are preparing for one of the most important weeks

Jakub Novak 11:19 2025-07-15 UTC+2
Can't speak right now?
Ask your question in the chat.
 

Dear visitor,

Your IP address shows that you are currently located in the USA. If you are a resident of the United States, you are prohibited from using the services of InstaFintech Group including online trading, online transfers, deposit/withdrawal of funds, etc.

If you think you are seeing this message by mistake and your location is not the US, kindly proceed to the website. Otherwise, you must leave the website in order to comply with government restrictions.

Why does your IP address show your location as the USA?

  • - you are using a VPN provided by a hosting company based in the United States;
  • - your IP does not have proper WHOIS records;
  • - an error occurred in the WHOIS geolocation database.

Please confirm whether you are a US resident or not by clicking the relevant button below. If you choose the wrong option, being a US resident, you will not be able to open an account with InstaTrade anyway.

We are sorry for any inconvenience caused by this message.