This news cycle has been confusing for crypto traders thanks to the tariff announcements before and after President Donald Trump. In these situations, traders tend to ignore the noise and follow the tape. Monitor the price chart, identify the path with the least resistance and follow it.
For Bitcoin (BTC), the tape is bullish, with short-term price charts flashing the opposite pattern of the pattern that characterized the January-February price peak at $109,000.
We consist of two bottom patterns containing two consecutive troughs at roughly the same price, and a trend line representing a trend line passing through a high point between the two troughs. Moves above the trend line, also known as the neckline, confirm breakouts and bullish changes in market trends.
BTC was placed in a double bottom of about $74,600 between April 7 and April 9, and was separated by a temporary recovery (high points). On Wednesday, prices rose above that neckline level, confirming a double-bottom breakout.
Technical analysis theory suggests that a gap between the trough and neckline is added to the breakout point to measure potential rise movements. At the time of writing, Bitcoin changed hands for $82,000.
Supporting the bull case is the appearance of “outdoor day” candles on daily charts, suggesting a higher trend reversal. The candle takes its name from its unique shape and features a green body and core that completely envelops the negative price action of the previous day. This pattern reflects new bullish sentiment in the market and shows strong efforts by buyers to reassert control.
These bullish signals risk nullification if movements below $75,000 are updated.
The payment-focused cryptocurrency XRP and major memocoin DOGE by market value surged 14.3% and 12.7% on Wednesday, as new growth in BTC promoted risk-taking across the broader crypto market.
Both cryptocurrencies form bullish outside daytime candles, demonstrating the Bulls’ efforts to regain market control after an extension of the sale. This pattern suggests the potential for continuous profits in the short term.