The price of Bitcoin has been fairly stagnant this year, hovering between the $3300 and $4000 range since the last break to the downside in December last year (2018). What is interesting to note is that the last time the price was as low as $3300 was on the 8th of February, and since then it has gained $700, or 20%, to reach its current price of $4000 at the time of writing.
Most analysts will tell you they’re expecting something to happen, but they can’t be sure as to when that “something” will be. With this kind of low volume and lowering volatility, it could be quite some time before we see a significant break – and whether that will be to the upside or downside also remains to be seen. Although there are a lot of bears counting on further breaks to the downside.
Having said that though, there is an interesting pattern developing on the chart: And that is an ascending triangle. We saw a descending triangle pattern for the entire 2018, and this led to a violent break to the downside as the price bounced tighter and tighter in the triangle’s range. And after last year’s violent downward break, we’re now seeing something similar in an ascending triangle. Although it is still early days in this formation, and a lot of things need to be confirmed before we get too excited. Nonetheless, it’s still a pattern, and a forming range that we should take a note of.
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And that’s it for this week’s edition of our Global Crypto Market Analysis.
What do you think? Agree with what Graeme sees in the chart, or do you see something different? Be sure to let us know in the comments.
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Until the next edition…