Matrixport: Bitcoin tests key downtrend line, bullish flag pattern gradually established

Matrixport's chart analysis suggests that Bitcoin is approaching a breakthrough in the key downward trend line, which has been suppressing prices since the market sell-off around Trump's inauguration. Currently, Bitcoin is forming a "high and tight flag", a technical pattern often seen as a bullish continuation.

At present, Bitcoin has broken through the initial downward trend line (white line) and is testing more important resistance levels (grey lines). If it can successfully break through, it will signal significant easing of downside risks. Combined with the dovish tone of the Federal Reserve FOMC meeting, the market environment is becoming favorable; this change is increasingly being validated technically.