Key Insights

• Bitcoin’s recent bounce off its 50-day EMA aligns with a bullish pattern aiming for $148,000.

• The sale of 80,000 BTC by older whales indicates a profit-taking phase, which typically foreshadows a market recovery.

Bitcoin (BTC) experienced a 7.50% drop approximately three weeks after it peaked at around $123,250. Analysts suggest this downturn could be the final shakeout before a potential rise to $150,000.

BTC Retains Key Support Level

On Sunday, Bitcoin made an attempt to regain its 50-day exponential moving average (50-day EMA) as support after dipping slightly below this line just a day earlier.

This 50-day EMA has historically served as a solid support level. For instance, a brief dip below it in June led to a significant rebound of around 25%.

Currently, it seems Bitcoin might be mirroring that scenario. Analyst Bitbull suggests that we could see a similar pattern unfolding in the coming days.

He mentioned that a drop into the $110,000-112,000 range could create an ideal “bottom” for Bitcoin, positioning it for the next upswing.

Technical Breakout Targets $148,000

The support from the 50-day EMA aligns well with Bitcoin’s classic inverse head and shoulders (IH&S) pattern neckline.

After surpassing this neckline, BTC typically retests it—an expected move post-breakout. If this bounce occurs, it enhances the possibility of the bullish reversal setup being valid.

A successful retest of the neckline could indicate that Bitcoin is poised for a continuation phase toward $148,250.

This target is close to the anticipated $150,000 Bitcoin price for 2025, which many analysts predict could occur around October.

Long-Term Selling by Whales Signals Opportunity

On-chain analytics suggest that the ongoing price decline in Bitcoin might actually set the stage for a major breakout.

According to Cryptoquant, Bitcoin has undergone three significant rounds of profit-taking by whales during the bull market that spans from 2023 to 2025.

The first profit wave coincided with the US Spot ETF launch in March 2024. The second followed Bitcoin surpassing the $10,000 mark after the Trump election in late 2024. The latest round was triggered by a breakout beyond $120,000, leading to the sale of 80,000 BTC.

Each of these profit-taking phases typically precedes a period of price consolidation lasting 2 to 4 months. Analysts have noted that such cooling periods have historically led to renewed accumulation and subsequent breakouts to record highs.

“This data suggests the market is currently in another typical cooling phase, similar to past cycles that have preceded periods of consolidation and eventual breakouts,” they highlighted.

This article does not serve as investment advice. All trades carry risk, and it’s essential for readers to conduct their own research before making any decisions.