Bullish Ascending Triangle Formation Breakout Takes Bitcoin Back Above $7,000

Tony "The Bull" Severino

5 years ago

2 mins read

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Created by industry experts and meticulously reviewed

The highest standards in reporting and publishing

How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

Bitcoin price just exploded back above $7,000 despite increasingly bearish sentiment taking grip across financial markets, and a crypto market experiencing the longest stretch of extreme fear yet.

After stocks tanked and oil fell below negative, the expectation was that crypto would soon follow, but an ascending triangle formation just helped propel the first-ever cryptocurrency higher. But the question remains: where to next?

Ascending Triangle Target Reached, Bitcoin Price Reclaims $7,000

Bitcoin price just completed an ascending triangle formation on the 1-hour timeframe, resulting in a powerful push above $7,000. Ascending triangles are primarily bullish patterns, and lead to a rise equal to the height of the formation.

In minutes, Bitcoin pushed well over $100 to just under $7100 as of the time of this writing and is currently struggling to reclaim overhead resistance at $7,100 through $7,200.

The bullish movement comes in parallel with the stock market, which continues to rebound from lows set on Black Thursday last month. The correlation with the stock market continues in crypto, but this could bode well for Bitcoin if the stock market continues to recover with each round of stimulus boost added to the economy.

However, crypto analysts are still eyeing an eventual break in the correlation between the asset classes.

Which Levels To Watch and What’s Next For Cryptocurrencies

For now, if the correlation continues and the stock market pushes onward, Bitcoin could make an attempt at revisiting highs lost from earlier this year.

At the start of 2020, Bitcoin had reclaimed $7,000 then quickly blasted its way above $10,000, where the cryptocurrency failed to hold. A retest of support around $8,000 is possible if Bitcoin price can break above $7,200, and $7,500, but the real push would happen after a clean breakthrough $8,000.

Such a move would cause the asset to rip toward $9,200, where the March breakdown escalated into a devastating collapse to below $3,800.

The leading cryptocurrency by market cap is still trading well above those levels, nearly doubling from the extreme lows set mid-March. However, with Bitcoin’s halving ahead, the price action was expected to be more bullish than it has been.

Instead of Bitcoin trading below $5,500, the asset was expected to trade somewhere northward toward $55,000 by May 2020. That’s just days away, and Bitcoin price is barely over 10% of that.

Things are looking bleak for Bitcoin price with a recession looming, however, the devaluation of the dollar could help Bitcoin shine in this darkest hour. Only time will tell, but with things at such a pivotal point, it could be make it or break it time for the first-ever cryptocurrency.

Tony "The Bull" Severino

Tony "The Bull" Severino, CMT, is a distinguished figure in the cryptocurrency analysis sector, renowned for his in-depth technical expertise and innovative approach to market trends. As the Head of Research at NewsBTC, Tony leads a team dedicated to providing cutting-edge insights and forecasts, helping both novice and experienced traders navigate the complexities of the crypto market.
A seasoned Chartered Market Technician, Tony's prowess in identifying and capitalizing on market patterns is unmatched. His academic and professional journey in market analysis has firmly established him as a leading authority in technical trading strategies. Tony’s approach is heavily influenced by the principles of Elliott Wave Theory, a method known for its rigorous assessment of investor psychology and price movements.

Beyond his role at NewsBTC, Tony is the visionary founder of CoinChartist.io, an educational platform aimed at demystifying the nuances of cryptocurrency trading. CoinChartist.io serves as a valuable resource for traders seeking to enhance their technical analysis skills. The platform offers a range of learning tools and resources designed to empower traders with the knowledge to make informed trading decisions.

In addition to his educational initiatives, Tony is a prolific author and a dominant voice in the crypto community. He writes the CoinChartist VIP newsletter, a weekly dispatch that has become a staple among crypto enthusiasts, revered for its insightful analysis and actionable trading advice. This newsletter has consistently ranked as a best-seller on SubStack, boasting thousands of subscribers who rely on Tony’s expertise to guide their trading strategies.

Tony is also celebrated for his literary contributions to the field. He is the author of the highest-rated Crypto Trading Journal on Amazon.com, a testament to his ability to communicate complex trading concepts in an accessible manner. This journal is widely regarded as an essential tool for traders aiming to track their progress and refine their strategies.

Before his ascent in the financial analysis world, Tony honed his skills in journalism. His background in this field has endowed him with a unique ability to present intricate market dynamics in a clear and compelling manner, making his insights highly sought after by a broad audience that ranges from casual readers to professional traders.
His professional affiliations underscore his commitment to excellence and continuous learning. As a partner of Elliott Wave International and TradingView, Tony collaborates with other leading experts to enhance his knowledge and skills. His active membership in the CMT Association further aligns him with the highest standards of industry practices and ethics.

Tony’s nickname, "The Bull," aptly reflects his aggressive and optimistic outlook on the cryptocurrency markets. His forecasts often anticipate significant upturns, earning him a reputation for bullish predictions that have frequently led to lucrative outcomes for those who follow his advice.

In summary, Tony "The Bull" Severino, CMT, is more than just a technical analyst; he is a mentor, educator, and innovator whose influence in the cryptocurrency space continues to grow. His dedication to advancing the understanding of market forces and his commitment to providing high-quality, reliable analysis make him a pivotal figure in the world of cryptocurrency trading.