- Bitcoin remains in a consolidation zone, showing bullish signs with an ascending triangle pattern for a breakout.
- The $95,000 resistance holds strong, but higher lows indicate growing strength for Bitcoin to breach this key level.
- Negative funding rates suggest most traders are short, a typical precursor to a bullish breakout for Bitcoin.
Bitcoin price is currently in a consolidation zone and has potential for a bullish breakout in the coming days. Over the past several days, the cryptocurrency has been exhibiting an ascending triangle pattern, which typically indicates further upward movement. The $95,000 resistance level is still refusing price efforts to break out up, but the ascending higher lows support underlines the upward trajectory.
According to Rover analysis, the consolidation pattern is becoming more pronounced on the 1-hour chart. At the same time, Bitcoin is constantly trying to break through the levels at around $95,000 but has not managed to do so thus far. It may pull back to the level and not drop any further below that level for some time again. On the other hand, the higher lows indicate that the BTC price is continuing to gather strength in an attempt to break through this level. This has now turned out to be a pivotal level for traders as they seek to interpret it with a bid to predict its future behavior.
Ascending Triangle Formation
On the 4-hour chart, Bitcoin has been forming higher lows and ranging between the flat resistance at the $95,000 level and the rising support line. This creates an ascending triangle. This indicates that such patterns have been followed by upward breakouts 80% of the time in the past.
Source: X
The overall funding is now in the negative territory of the market. This means most of the traders have placed their bets on the short side of the rate, which is a well known technical factor that precedes a price rise. It is a fact that brings together many traders who pay attention to the fact that when a large number of traders are long or short, the market moves in the opposite direction.
Based on the analysis, Bitcoin is expected to experience a breakout once the price surpasses the $95,000 mark, accompanied by high trading volume. Consequently, the next possible figure could be around $101,000. A breach of this level would make way for even higher price levels, at least in the short run. Experts are positive that a big rebound of Bitcoin price might be in the offing.
Source: X
Bitcoin Poised for Breakout
The daily EMA ribbon has made a bullish crossover, marking the start of an upward trend. In the weekly chart, another bullish crossover on the MACD indicator is pending. All these point to the fact that we are likely to see Bitcoin rise to a higher price soon. As of press time, BTC is trading at $94,727, showing a 0.11% increase over the past day.
Source: TradingView
In the long term, there is potential for Bitcoin to reach new all-time highs. The next few weeks are critical, and most of the analysts predict that a breakout will happen in the next 48 hours. If bulls manage to breach through the barriers, BTC is capable of skyrocketing to the $110,000 mark or even higher. The situation is signaling an immediate movement in the market direction, and traders are waiting in anticipation.
As the price of Bitcoin remains stable, the market appears poised for a new upward movement. With several levels of retracement resistance within touching distance, the next couple of days could be an important one for the cryptocurrency. If the bullish trend is confirmed, then a higher high formation may bring a great volatility breakout and a new phase of a Bitcoin price increase.
Read More: Bitcoin’s Skyrocketing Value: Will a Pullback to $80k Lead to the Next Big Move?