Bitcoin ( BTC ) continues to consolidate today, 19 March, above the support/resistance (S/R) level it broke through on the 16th. BTC is consolidating in what appears to be a bull pennant at this level. Volume on the Binance exchange has been diminishing in this movement, suggesting consolidation - but other exchanges show a different picture, and rising volume in the past day.
Within the medium-term market structure, Bitcoin has retested the $3,950-20 S/R zone several times. Most analysts agree that another move higher is urgently needed in order to maintain upward momentum.
If Bitcoin were to fall out of this momentum and lose its current support, it could retest the uptrend support (in green, below), or continue lower to supports at around $3,800 or even $3,600 (purple, below). In the medium term, despite rising volume in past days on some exchanges, volume has been generally falling and consolidating since 23 February, on most exchanges.
In the longer term, bitcoin - even if it falls out of the current local uptrend - has been consolidating up in an ascending triangle pattern since mid-December (in green, below). The scope of this pattern is quite large, however, looking to conclude by October, 2019 at the latest.
The consistent uptrend of February and March has brought Bitcoin quite close to the important 200 day moving average (below, purple), which is often used as a definitional indicator for a bear or bull market (depending on whether price is below or above, respectively).
Finally, on the longest term scope (here, the weekly chart), one interesting development seems to be that a large downtrend - first laid one year ago in March, 2018 - is being threatened. More positive price action could see this downtrend broken. Also, many traders and investors may be heartened by the increasing distance from the 200 weekly moving average, although some think this level will be broken in the coming months.
The views and opinions expressed here do not reflect that of CryptoGlobe.com and do not constitute financial advice. Always do your own research.