Bitcoin's recent surge above $71,000 has sparked a wave of optimism among crypto analysts and traders, with many believing the world's largest cryptocurrency is in the midst of a major bullish reversal.

A 14% rise in prices over the past week has convinced some that Bitcoin could be on track to hit new all-time highs, with forecasts ranging from $90,000 to $1 million.

Some analysts point to the bullish reversal on the Bitcoin price chart as a strong indicator that the cryptocurrency won't experience another significant correction until it exceeds its previous all-time high of $73,679 by at least 20%.

“We believe we will move to at least $90,000-$100,000 before we see another period of consolidation or correction,” they state.

This view is shared by on-chain analyst Willy Wu, who suggests that the current Bitcoin rally is only halfway through its bull run.

Using the Bitcoin Volume Weighted Average Price (VWAP) oscillator, Wu demonstrates that the indicator has just emerged from oversold territory and is now at a neutral zero level.

He believes a period of consolidation below the all-time high is needed before a potential “leg two” takes Bitcoin to new heights.

BitMEX co-founder Arthur Hayes made an even more ambitious prediction, arguing that the Federal Reserve and Bank of Japan's actions to rescue the Japanese yen could cause the price of Bitcoin to rise to $1 million.

Hayes believes the complex imbroglio between central banks over the yen will lead to a scenario in which the Bank of Japan resorts to an "easy button" - unlimited US dollar "swap lines" - to strengthen the yen while weakening the dollar. In his opinion, this environment of increased money printing will be a boon for Bitcoin and other assets.

Another analyst suggests that Bitcoin's current bull run could last another 300 days, barring any unforeseen disruptions such as the fallout from a major exchange going bankrupt.

This forecast is based on an analysis of short-term holders' (STH) gains and losses, which are currently declining but remain relatively high.

As market sentiment improves and prices recover, Bitcoin's growth rate will depend on external factors such as the stance of the US Federal Reserve and inflows into Bitcoin spot exchange-traded funds (ETFs).

The positive shift in market sentiment is evident, with the Crypto Fear and Greed Index rising 12 points in just 24 hours, reaching an "extreme greed" score of 76 on May 21. This surge in optimism is largely due to rumors that the US Securities and Exchange Commission may pass measures to approve spot ETFs, which had a spillover effect on the price of Bitcoin.

As Bitcoin continues its upward trajectory, traders and investors are keeping a close eye on key resistance levels and potential consolidation phases.

While some are expecting minor corrections along the way, the general consensus seems to be that Bitcoin is in the midst of a significant bullish trend that could potentially lead to new all-time highs.