#write2earn #Bitcoin Analysis: Navigating Sideways Movement and #Bullish Signals #BTC #BullorBear
Following a robust uptrend in February, Bitcoin has largely maintained a sideways trajectory throughout March and into April. The more prolonged this sideways movement, the greater the potential for a significant and dynamic shift to come.
Starting from early February and extending into the first half of March, Bitcoin surged by 76% in terms of price. Since reaching its peak at $73,800, the price has retraced and remained relatively stagnant. The duration of this current sideways movement could indicate the magnitude of a subsequent upward surge.
Bullish Pennant Formation Emerges
Analyzing the daily chart reveals that Bitcoin managed to reclaim its position above the trend line established since early February. However, there was a dip below this line on Friday. Nonetheless, the chart pattern has evolved into a bullish pennant, suggesting a higher probability of breaking out to the upside rather than the downside.
Sideways Drift Until Pattern Resolution
Zooming in on the 4-hour chart, it's evident that Bitcoin is indeed trading within the confines of the pennant pattern. This suggests that Bitcoin might continue its sideways movement for roughly another two weeks, although Bitcoin typically exits such patterns before reaching their conclusion.
Anticipating a Significant Move
The eventual target of the bull pennant largely depends on where one begins measuring the move, which can be subjective. Assuming the bottom of the flagpole is dated back to January 23, when the price stood at $38,600, the target would be $105,000. This aligns somewhat with the 1.618 Fibonacci extension, which suggests a similar target of $102,000.
In the event of a breakout in the opposite direction, the measured move could potentially bring the price down to $51,000, aligning with strong support at that level.
Preparing for Potential Scenarios
Focusing on the bearish scenario, such a move could unsettle many investors.
