Bitcoin has been in a consolidation zone for the past week. It’s showing indecision while remaining around the $83,000 level. A range with lower price action created by volatility indicates a breakout potential in the short term.
Currently, Bitcoin is trading at $83,572, and in the short term, the bears are gradually losing grip over the BTC price trend. The price action shows consolidation with decreasing volatility, suggesting a potential breakout.
BTC Price Analysis
In 4-hour time, Bitcoin appears to be setting a chart that has an ascending triangle with a flat resistance level of approximately $83,400. This type of pattern usually implies a continuation of a trend if the breakout takes place above resistance.
On the technical front, the shortening of the MACD histograms reflects a reduction of bearish momentum. Thus, the MACD and signal lines give early signals for an impending bullish crossover. Higher buying pressure that can force prices to move up could be a signal for this situation as well.
Currently, Bitcoin is challenging the 50 EMA, which, in the past few sessions, has been the main resistance. A close above this moving average might indicate a bullish sentiment.
If Bitcoin succeeds in surpassing the $83,400 barrier, the oncoming levels would be $85,256 and $88,595. It might also be able to touch the $92,070 level.
Rising U.S. Spot Bitcoin ETF Outflows
In the past week, total outflow was -$870.39 million against a total traded value of $12.66 billion. For the past month, the daily total outflow of Bitcoin ETFs was at -$3.56 billion, and it’s -$68.41 million as daily outflow on March 14.
Bitcoin Derivatives Market Overview
The open interest in Bitcoin futures markets has notched down from recent highs due to the profit-taking of leveraged positions. Currently, it remains high overall at around $49.74 billion.
Funding rates are slightly positive at 0.0062%, indicating a slightly bullish mood from traders in the swapping perpetual market, but it is not at the levels that would indicate excessive positioning.
