Bitcoin Surges 11% to New All-Time High, Trader Sees 18% Upside

Veteran trader Peter Brandt has confirmed his long position in Bitcoin after the digital asset reached a new all-time high this Wednesday. The price of Bitcoin surged above the $112,000 mark on the Bitstamp exchange, surpassing its previous high after over a month of sideways trading. As of the latest update, it is trading around $111,257.

Brandt's updated analysis shows a breakout from an expanding triangle formation, a pattern also referred to as a broadening wedge. The lower trendline is rising, while the upper one remains flat. The price range has widened over time, with a recent breakout occurring above the upper boundary. Although breakouts from this formation can be unreliable, the current trend remains positive.

A horizontal line at $108,100, which served as a strong resistance during consolidation, has now turned into support. Brandt has pegged $107,000 as the critical support for his position. A drop below this level could indicate a shift in the current pattern, potentially invalidating the bullish setup.

Following the breakout, Brandt has outlined two potential price targets at $120,958 and $134,886. These targets are calculated based on the expanding triangle’s price range. He previously projected a rise to $118,000, and the new breakout has reinforced those expectations. Despite the breakout, expanding triangle formations carry a historically high failure rate. This means traders remain cautious, although recent price movements have leaned in favor of the bulls.