Veteran Trader "Bitcoin, Strange Rally Underway"...Approaching $88,000 Expected

▲ Bitcoin (BTC)

As Bitcoin (BTC) moves towards the $85,000 to $88,000 range, veteran trader Bob Loukas has offered an analysis that this upward trend is different from typical bear market rallies.

U.Today reported on May 5 (local time) that Loukas, in his recent Bitcoin outlook, stated that the market is currently testing the key resistance zone of $85,000 to $88,000. While many market participants see a potential reversal in this range, Loukas assessed that Bitcoin is showing unusual resilience, differing from a typical bear market rebound.

The key variable Loukas focused on is time. Generally, counter-trend rallies in a downtrend are strong and fast, often ending within a short period. However, this rally has lasted for 88 days since its local low. Loukas views this trend as being closer to a bottoming process than a simple sharp rebound.

He analyzed that the current cycle could be in the process of forming a long-term cyclical bottom, and this structure could continue throughout 2026. He explained that the stability sustained for 88 days is a more significant signal than short-term price movements. His interpretation is that the market has shifted from a sprint to something closer to a marathon.

However, Loukas still views the $85,000 to $88,000 range as strong resistance. He warned that this range acts as a kind of glass ceiling, and if Bitcoin fails to break through it in the short term, there is a risk of a deeper test of the bearish range again.

The market environment is sending mixed signals. On one hand, institutional funds totaling $1.16 billion have flowed into Bitcoin ETFs since May, and expectations for the U.S. cryptocurrency market structure bill (CLARITY) are also growing. On the other hand, geopolitical pressures continue to weigh on risk assets and are complexly intertwined with the upward trend of traditional financial indices like the S&P.

Loukas argued that Bitcoin should not be viewed simply in terms of sharp rises or falls, but that 2026 should be seen as a year of transition. He analyzed that if the logic of temporary bottom formation holds, the market is more likely to experience a long period of sideways movement and re-accumulation, repeatedly testing the $60,000 to $70,000 range, rather than a sharp decline.

Ultimately, Bitcoin's next turning point is whether it breaks through the $85,000 to $88,000 range. If it surpasses this range, the market could be interpreted as being in a recovery phase after forming a long-term bottom, but if it fails to break through, the process of confirming support within the bearish range may continue.

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