Bitcoin price this morning is back well above $13,100 after an overnight plunge pierced below resistance turned support at $13,000. The rebound from support could be enough momentum to push the cryptocurrency higher toward $15,000. Here’s the current price action as it is developing, and what could result.
Bitcoin Forms Bullish Pennant, Target $15K, But Retest Must Hold
Bitcoin price just surged to retest highs around $13,200 after bulls held an important retest of support at $13,000 overnight. The leading cryptocurrency by market cap closed its highest weekly candle since the strong intraday bullish impulse that led to a $1,000 daily increase. After hitting resistance from 2019, Bitcoin has been consolidating in what appears to be a bull pennant chart formation.
Bitcoin bull pennant breaks to the upside, retest in progress. Is $15K next? | Source: BTCUSD on TradingView.com
These bullish chart patterns are characterized by a long pole moving upward, followed by a symmetrical triangle-like pattern forming the pennant. When the converging price action finally breaks out, another similar-sized move around the same height as the initial pole often follows.
Bitcoin attempted a breakout late Saturday night, but failed and was pushed back into the structure. However, this morning’s breakout that took the crypto asset pumping $300 in a flash, has now retraced and appears to be holding.
If the retest holds, the bull pennant could confirm, and Bitcoin could be trading at above $15,000 within just days to a week away. It’s also just days away from setting a new all-time high in terms of monthly candle close if the cryptocurrency can close the month over $13,950.
Featured image from Deposit Photos, Chart from TradingView.com