The market is finally reflecting broad optimism, with Bitcoin finally breaking above the $45,000 resistance level that had held it back for months. Over the last 24 hours, the market has continued to rise, while Bitcoin and Ethereum, the market leaders, rose more than 6% in the last 24 hours, with sharp jumps higher.
After advancing to $45,000 resistance on Friday, bitcoin’s price has consolidated throughout the weekend. Initially, there was clear rejection, which resulted in a consolidation that lasted until late yesterday. On the daily timescale, Bitcoin broke out to the upside of its ascending triangle on March 27, bringing the much-anticipated $50,000 milestone within reach.
Ascending triangles are continuation patterns, which means that after the price breaks out of its constricting range, it usually returns to its former trend.
Bitcoin stopped additional decline by forming an ascending triangle after it was going downwards. Instead, it broke above the pattern’s top horizontal trendline around $45,000, then continued upwards to over $47,700, a level last reached on Jan. 2, 2022.
This was one of the few instances where ascending triangles appeared at the end of a decline. As senior market analyst Peter Brandt pointed out on March 28, Bitcoin saw a significant upside retracement — from $3,100 to $14,000 — after painting a similar triangular pattern between December 2018 and April 2019.
Bitcoin to peak to its record high soon?
Meanwhile, independent expert “dave the wave” predicts that Bitcoin will rise to its current record high of $69,000.
On a weekly basis, the analyst generated a positive prognosis based on a bigger ascending triangle pattern and Bitcoin’s logarithmic support level. Nonetheless, after failing to break the $69,000 barrier, his setup raised the prospect of Bitcoin plunging down below $40,000.
At the time of writing Bitcoin is trading at $47,885.
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