Bitcoin Chart Resembles Setup That Preceded Last Major Breakout
Bitcoin's chart structure bears a striking resemblance to the setup that preceded its last major breakout in 2023, according to analyst Frank Cappelleri.
Cappelleri, founder of CappThesis, pointed out on CNBC that Bitcoin's current technical base mirrors the one seen during the period spanning 2022 and 2023, when BTC declined by approximately 70%.
He drew a comparison between the two charts, showing how Bitcoin's roughly 54% decline this cycle bears similarities to the earlier slide.
Cappelleri argued that this chart structure could support another leg higher for Bitcoin, potentially leading to significant gains. However, he emphasized that he is not projecting a repeat of the 400% rally seen last cycle, but rather looking for 'a very similar foundation' that could take Bitcoin back to new highs.
In his analysis, Cappelleri also highlighted BTC's historical response to technical signals, noting that it 'really does well with technicals.' He emphasized that past price behavior makes those signals difficult to ignore.