Bitcoin’s (Btc) Stochastic RSI is printed by a bullish cross with the history of the previous sharp price rebound.
The Stochastic RSI monitors the momentum based on price movements associated with their range at a given period. This classic indicator operates between 0 and 100, with values above 80 that are considered to be extremely skeptical and below 20 considered oversold.
BTC/USDT Weekly Price chart. Source: TradingView/Merjin the entrepreneur
A crossover of the Blue %K line above the orange %d line from an oversold region that technically suggests the growth of upward momentum.
Another $ 120,000 target price of BTC appeared
Historical fractals show that each time the weekly stochastic RSI made a bullish cross, Bitcoin underwent sharp price recovery within three to five months. Its gains averaged around 56% during rebounds, ̛including rallies reaching beyond the 90% -return mark.
BTC/USD Weekly Price Chart. Source: Tradingview
It included an approximately 90% rally from November 2022 lows, 92% acquired by late 2023, and a tedious 98% moved to the recent Bitcoin full time around $ 110,000 in January 2025.
If history repeats, Bitcoin could see another parabolic increase By July or August, the alignment of previous stochastic RSI bullish crosses delivered back returns.
Market Analyst Merjin is the businessman Says The price of Bitcoin can reach at least $ 120,000 if the stochastic RSI fractal performs as intended.
Source: Merjin the businessman
Meanwhile, Bulcoin’s Bullish Reversal Outlook receives additional clues from the 50-week exponential transfer of average (50-week EMA; the red wave to the chart above) around $ 77,230.
The 50-week waves of EMA have served as a strong accumulation zone for entrepreneurs since October 2023.
In the event of a BTC price under the 50-week EMA, it can head towards the next target support around 200-week EMA (the blue wave), close to $ 50,480, down by approximately 40% from the current prices.
Bitcoin hedge funds are buying dip
Another sign of bullish derived from the accumulation of hedge funds from the ongoing price correction.
The global crypto hedge fund increases their exposure to Bitcoin, as seen in the latest cycle of 20-day beta in BTC, which has move forward to a four -month height. This indicates that institutional investors are buying sinking, positioning themselves for potential reversal.
Global crypto hedge fund rolling 1-month beta in bitcoin. Source: Glassnode/Bloomberg
Beta measures how close the hedge fund is to monitor bitcoin movements. When the beta increases above 1.0, it indicates that the funds are rising more than BTC prices. Conversely, when the beta drops below 1.0, the fund moves less than Bitcoin.
Related: Peak ‘FUD’ hints on $ 70k floor – 5 things to know in Bitcoin this week
Beta is now at a 4 -month high, which means that hedge funds believe that recent Bitcoin Dip is a purchase opportunity and expects higher prices ahead, adopting the $ 120,000 price outlook as discussed above.
As cointelegraph reported$ 120,000+ becomes a popular target for Tag -Heart 2025.
This article does not contain investment advice or recommendations. Every transfer of investment and trading involves risk, and readers should conduct their own research when deciding.
