Bitcoin has experienced heightened volatility over the past several weeks but has been slowly falling into a period of consolidation over the past several days as it hovers within the lower-$9,000 region.
Analysts are now noting that the cryptocurrency is currently caught within a bullish trading formation that may send its price surging as high as $14,000 in the near-term, which is where it may be met with significant resistance.
Bitcoin Climbs from Recent Lows as Analysts Target Further Gains
At the time of writing, Bitcoin is trading up just under 1% at its current price of $9,255, which marks a slight climb from its recent lows of roughly $9,000 that were visited on multiple occasions over the past few weeks.
This period of consolidation comes quick on the heels of Bitcoin’s recent meteoric surge that sent it running from lows of $7,300 to highs of $10,800, which is where its bulls lost steam.
Bitcoin’s swift retrace from its recent highs of $10,800 seems to further confirm the existence of a bullish flag formation that BTC is currently caught within, which may mean that another upwards movement is imminent as the crypto nears to apex of this triangle.
Jonny Moe, a popular cryptocurrency analyst on Twitter, spoke about this flag in a recent tweet, pointing to the chart seen in the below tweet.
My current $BTC chart. Watching, waiting. pic.twitter.com/93IU7NiRnk
— Jonny Moe (@JonnyMoeTrades) October 31, 2019
HornHairs, another popular cryptocurrency analyst, supported this potentially bullish notion in a recent tweet, explaining multiple factors that he believes point to the possibility that BTC will visit $14,000 before it visits $7,000.
“$BTC Monthly confluence +1M bullish breaker +.618 retracement +Volume Profile HVN/PoC +Yearly Pivot +Inside bar fakeout… I like the chances we hit $14,000 before $7,000,” he said while pointing to the below chart.
It is important to keep in mind that Bitcoin’s 2019 highs currently sit around $13,800, which likely means that this region will contain significant resistance that could prove to be insurmountable for the cryptocurrency without it having some sort of major catalyst to support the movement.
The next few days will elucidate the validity of this potentially bullish flag that BTC is currently trading within, but a decisive break below its lower level could spark a sharp sell-off that leads BTC to cut deeper into its recently incurred gains.