Historical Bitcoin Price Fractal Hints at Rally Towards $50,000

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Bitcoin (BTC) could rally towards $50,000 in 2023, according to a historical price fractal highlighted by popular market analyst Mags.

Bitcoin price trend in 2015 vs 2023

The chart’s fractal highlights the similarities between ongoing Bitcoin price trends and those recorded after the 2013-2015 bear market was completed.

This includes Bitcoin’s consolidation in the $200-$300 range between January 2015 and August 2015, which looks identical to its consolidation between $18,500 and $25,000 after the supposed completion of its 2021-2022 bear market.

BTC/USD price performance comparison between 2015 and 2023. Source: TradingView/Mags

The price of BTC broke above the $16,000-$25,000 range in March 2023, prompting Mags to point out its resemblance to the break above the $200-$300 range in October 2015.

Given that this led to a rally towards $700 in June 2016, the analyst sees the scenario potentially repeating itself in 2023, with the price of BTC doubling to $50,000.

Be bearish here [when Bitcoins price is around $28,000] is like being bearish at $350, Mags added.

Tighter Liquidity May Spoil Bitcoin Price Rise

The bullish case for Bitcoin comes amid expectations that the US Federal Reserve will slow the pace of its interest rate hikes.

Due to lower rate expectations, the yield on the benchmark 10-year US Treasury fell. This, in turn, spurred investors’ appetite for zero-return assets, such as Bitcoin and gold.

US 10-year weekly chart against BTC/USD and XAU/USD. Source: Trading View

In addition, falling yields have also undermined demand for US dollars, with the dollar losing 1.33% in 2023 against a basket of major foreign currencies. Since the value of Bitcoins is largely denominated in dollars, this means higher prices for BTC/USD.

Related: Latest Bitcoin Price Data Suggests a Double Top Above $200,000 in 2025

However, Bloomberg analyst Mike McGlone warned of a potential bullish trap in the Bitcoin market due to a growing liquidity crisis.

He said:

It may be illogical to expect the stock market, crude oil, copper and the Bloomberg Galaxy Crypto Index (BGCI) to sustain recent rebounds with year-over-year measures of money supply and commercial bank deposits down about 2%.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

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