Bitcoin is still in an upward wedge pattern indicating potential of increases towards the $120K mark.
At this time in April, the 50-week moving average provided strong support and helped create upward momentum.
The likelihood of a breakout arises as the price is currently within the range of $104,841 and $103,133.
Bitcoin demonstrates significant bullish momentum in the weekly chart as it moves through a rising wedge pattern. From recent market movement, it shows that Bitcoin has been able to hold above the 50-week moving average, which is an indicator of its strength in turbulent economic conditions.
With BTC trading at approximately $104,432, the asset is now navigating a path that could potentially lead to a test of the $120,000 mark in the coming months.
Technical Structure: Rising Wedge Guides Price Action
Closely under observation by the market analysts are the emergence of a rising wedge in the weekly chart. The shape, defined by the tilting of the trendlines and their crossing, signifies a strong upward trend together with a slackening of activity on the market. Since the beginning of 2023, the developing pattern has indicated a constant advance, as seen in successive higher highs and higher lows.
Source: (X)
Market experts emphasize that the price is still bound by the wedge and slowly creeps towards the upper resistance line. While rise wedges sometimes represent reversal potentials, however, the real direction always depends on the sentiment of the prevailing market conditions and the macro indicators. Provided that the pattern continues to hold, the indication is that we are still seeing an upward thrust.
Bitcoin Reclaims Key Support, Eyes $90K as Rising Wedge Holds
Bitcoin’s momentum during April turned decisively up, with the price rejecting strongly at the 50-week moving average, an important statistic that is often cited in analyzing intermediate-term market trends. Rebounding above the support line improved the investor sentiment particularly in a short time after trades below the internal trendline of the wedge.
This move strengthened the ranks of buyers in lesser/prices, particularly around $88,000-$90,000. The response of the market at this point may now be considered essential to retaining the validity of the rising wedge pattern.
Price Levels and Market Outlook
The current price of Bitcoin is within a range that caps its near term resistance to $104,841, with support at $103,133. Even with minor 0.6% increases in the past 24 hours, the minimal variation suggests buildup toward the next real change or correction.
While staying within the wedge and maintaining the MA50, the analysts are expecting $120,000 as a possible target. If the price cuts through the lower boundary of the wedge, analysts say it may signal a reversal of the recent positive movement.
Broader Implications
Whether Bitcoin can maintain its recent formation may act as a signal to the market participants on the overall level of confidence with the background of persistent inflation and change in the monetary scheme. It is probable that traders and investors will put a magnifying glass on the weekly closing prices to make sure that the trend continues. Bitcoin’s current trend appears to be positive. However, the market is ready to respond if any variation from the expected chart pattern is observable.
