What Historical Trends Hint for Bitcoin Price Behavior in March?

03.03.2024

Bitcoin Price: BTC, the leading cryptocurrency by market cap, was aggressively bullish in February as the price jumped from $42279 to $46000 to register 51.4% growth. However, the digital asset witnessed a surge in volatility entering the march as the overhead supply at $64000 stalled the recovery momentum. The consolidation trend in the weekend reflects the formation of a bullish continuation pattern called Pennant.

Also Read: Bitcoin Supply and Demand Data Suggests over 20% Disparity, Price Surge Ahead?

Flag Pattern Projects Bitcoin Price to Surpass $70000

Bitcoin Price| Tradingview

The ongoing recovery trend in Bitcoin faces supply pressure at $64000 evidenced by the long-wick rejection candles. The overhead selling has shifted the BTC price sideways, along with major altcoin indicating the market sentiment of post-rally consolidation.

An analysis of the 4-hour time frame charts this lateral movement is confined within two converging trendlines predicting the formation of symmetrical patterns. The chart provides a temporary breather for the asset to regain strength for the next leap.

Moreover, recent data from Coinglass shows Bitcoin’s monthly returns from 2013 to 2024. Analyzing the March performance specifically, the trend appears mixed, with positive returns in five out of the eleven years listed.

The returns for March have seen significant fluctuations, ranging from a high of +172% in 2013 to a low of -32.85% in 2018. However, the average March return over these years is +12.20%, and the median is -1.11%, indicating that assets remain slightly on a positive note.

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The presence of both high positive and negative returns in March suggests a lack of consistent trends during this period, making it challenging to predict future performance based solely on historical data.

Will Bitcoin Price Rise to $75,000?

Currently trading at $62802, the Bitcoin price teases a bullish breakout from the upper boundary of the pennant chart pattern. A successful breakout with a 4-hour candle closing will signal the continuation of the prevailing trend. If the pattern holds true, the Bitcoin price is likely to chase a potential target of $66655, followed by $75,000.

Technical Indicator

Bollinger Band: The squeezed range of the Bollinger Band indicator accentuates increased volatility in this asset.
Average Directional Index: The downsloping ADX slope at 49% reflects that Bitcoin buyers are restoring their strength amid current consolidation.