Bitcoin
This Technical Pattern Suggests Bitcoin is Ready to Push Towards $14,000
Cole Petersen | Jul 29, 2020 | 18:00
- Bitcoin has now entered a clear consolidation phase as its price hovers above $11,000
- Bulls were able to maintain their strength overnight, pushing BTC towards $11,200 as bears lose their support
- BTC’s overt strength at the present moment suggests that it is well-positioned to see further near-term upside
- One analyst is also pointing to the emergence of a technical pattern as another reason why it may push higher
- He notes that this pattern could send the cryptocurrency up towards $14,000 in the days and weeks ahead
Bitcoin has been showing some intense signs of strength throughout the past few days, as its price has now been able to consolidate above $11,000 for an extended period.
This is a positive sign for the cryptocurrency, as it shows that the move past $11,000 was not a fluke but rather is emblematic of the digital asset’s underlying strength.
One pattern that has emerged as a result of this consolidation phase seems to indicate that a rally up towards $14,000 could be imminent in the near-term.
This pattern historically resolves in sharp bullish movements, and BTC likely won’t face any significant resistance until it reaches this high price level – assuming it can break through the mid-$11,000 region.
Bitcoin Flashes Signs of Technical Strength as Analysts Watch for Imminent Volatility
At the time of writing, Bitcoin is trading up 2% at its current price of $11,125.
This is around the price at which it has been trading throughout the past several days, although it has been unable to garner enough buying pressure to propel it past here.
Despite this, analysts are pointing to one pattern that seems to suggest another bout of volatility is imminent.
While offering a chart showing this pattern, one analyst explained that BTC should see some intense volatility once a bull flag on its hourly chart resolves.
“Bitcoin – should see some volatility soon as this pattern resolves itself,” he explained.
Image Courtesy of Cheds. Chart via TradingView.
Breakout Rally Could Send BTC Up Towards $14,000 in Coming Weeks
Another analyst recently pointed to a similar technical pattern in a recent post, explaining that as long as Bitcoin holds above $10,000, its high time frame outlook remains bullish.
He also explained that his upside target currently sits just below $14,000.
“BTC / USD: Waiting for continuation, its bull market season! $13,750 is the next target from here in my opinion. If PA pulls back, then holding $10,000 is still bullish HTF.”
Image Courtesy of Cactus. Chart via TradingView.
How the benchmark cryptocurrency trends in the hours and days ahead could have immense implications for its mid-term outlook.
Featured image from Unplash. Charts from TradingView.
