02.02.202111:24 Forex Analysis & Reviews: Bitcoin chart triangle: will there be an update to all-time highs?

A triangle is outlined on the Bitcoin daily chart. Its support level is drawn at the lows of 27,794.47 from January 4 and 28,776.00 from January 22. The upper border of the figure is the horizontal, drawn at the maximum values of 41,977.58 on January 8 and 38,610.88 on January 29.

So far, the price is in the middle of the triangle, and reaching one of its boundaries may be a harbinger of a future breakout. Since the pattern does not apply to upward or downward patterns, the exit from it can be in any direction, and the mid-term development can reach $10,000 after breaking one of the boundaries. With an upward impulse against the background of the pattern being worked out, the historical highs may be updated.

Meanwhile, the demand for the main cryptocurrency is supported by:

• the growing status of bitcoin as a safe-haven asset among large investors;
• distrust of private investors in the traditional financial system;
• local HYIP's, such as pumping coins by retailers against the backdrop of high-profile news.

So, on Friday, the BTC/USD rate jumped sharply amid the news that Elon Musk mentioned bitcoin in his Twitter account. As a result, the quotes rose above $38,000, but this growth was short-lived: by the weekend the price had lost all the positions it had won.

Meanwhile, on the four-hour chart of BTC/USD, the mirrored level 34,708.27 is the key technical reference. So far, it works as a resistance. On a downward rebound, the target for weakness will be the triangle support. A breakout of the horizontal line 34,708.27 and consolidation above it will allow the price to continue to rise to the upper border of the pattern.