BTC analysis – the price is close to the long-term bottom, accumulation continues in the short term

BTC maintains the short term support, but there was still no upward rebound. In addition, the sideway structure is still relevant and the risk of continuing the correction persists. The price thus continues to oscillate just below the price of $ 40,000, which is a condition for the continuation of the accumulation zone creating a growing minimum.

Since the last week of January, BTC has maintained rising local lows. For real growing trend however, it is also necessary to reach growing local maximums. Since ATH, the price has not yet succeeded in any of the cases. If the price exceeded $ 46,000 there would be a break of the previous maximum and confirmation of growth.

BTC in ascending triangle. Source: TradingView

BTC in ascending triangle

The current pattern in which the price is located is ascending triangle. According to theory, these triangles should be closed by bullish leg. However, the practice is not always identical with theory. Closing triangles is always risky, and unless you wait for it to close, you must consider both pattern termination scenarios.

If the price does not hold first support on which it is located, we will then follow support around the level of point 3. The lower limit of the sideway movement is $ 33,000. A flat sideway structure can also be created from the ascending triangle. However, on-chain metrics indicate that a trend reversal should occur in the next quarter.