Bitcoin threatens to break above $11,000 as consolidation continues

The market sentiment around Bitcoin was stoked following Bakkt.

As the first signs of the continuation of the bull trend, Bitcoin appears to be consolidating and could be bound for another surge.

Bitcoin dominance surged in the last two months after breaking out of an ascending triangle that began forming at the trough of the correction in 2017.

Even though Bitcoin dominance over the market appears to be in a bearish posture, its price looks bullish based on the 1-week chart.

As a matter of fact, since this cryptocurrency moved above the 7-week moving average in mid-February, its price has been trending up, enjoying a 292 percent increase.

Following the peak at $13,870, Bitcoin dropped below this moving average twice, but it immediately went back above it which adds credibility to the bullish outlook.

At the moment, Bitcoin seems to be in the consolidation phase of the bull flag pattern.

Conversely, a move above the 23.6 and 16.18 percent Fibonacci could be used as confirmation that both the bull flag and the symmetrical triangle could be validated and Bitcoin will be bound to a major upswing.

Bitcoin continues consolidating after nearly two months since it peaked at $13,870.

As the price of Bitcoin contracts into a narrower range, it could soon breakout in any direction.