• BTC has declined by 2.44% over the past 24 hours.
• Bitcoin’s NUPL suggest a potential to a record high of $130k-$160k.

Bitcoin [BTC] has struggled to maintain an upward momentum since hitting $108,364. Since then, the crypto has faced downward pressure hitting a low of $92,118. Thus, over the past weeks, BTC has consolidated between $92k and $107k.

In fact, as of this writing, Bitcoin was trading at $96,298. This marked a 2.44% decline on daily charts.

Despite the recent struggles, stakeholders remain optimistic and see the decline as a mere market correction before another uptrend. Inasmuch, Cryptoquant analysts have predicted a rally to between $130k to $160k citing Bitcoin’s NUPL.

Bitcoin NUPL indicates a sustained bull rally

In his analysis, Cryptoquant analyst Baro Virtual posited that the NUP indicates that Bitcoin is in its final stages, with a target range of $130k-$160k.

This means that Bitcoin is nearing the top of its bullish cycle, where prices historically see a massive rally before peaking. In this phase, market participants are highly profitable, and speculative buying drives prices up.

According to him, the unrealized profit/loss index has formed a cup and handle pattern which is expected to push BTC into the target range of $130k to $160k.

When NUPL forms a cup and handle pattern, it implies that unrealized profits are consolidating with a slight dip suggesting a temporary slowdown in market sentiment before a strong continuation upward.

In addition, Bitcoin made a successful breakout through the NUPL index’s 365-day MA signaling a potential uptrend in both the medium and long term.

What BTC charts suggest

While Bitcoin has struggled to maintain, an upward momentum, long-term prospects are still in favor of a strong upswing.