Bitcoin Rose 40%+ in Two Months. What Its Chart Says Now

Bitcoin has had quite a run of late vs. the U.S. dollar, rising some 40% between its June 30 low and its Aug. 27 high before pulling back some. Is this parabolic run rally over? Let's see what Bitcoin's chart says.

However, both have moved sideways or lower in recent days.

Bitcoin's Technical Analysis

Now let's check out Bitcoin's trading level against the U.S. dollar using pricing data from Coinbase (COIN). Here's Bitcoin's chart going back some 10 months and running through Wednesday afternoon (Aug. 26):

Readers will see two concurrent technical patterns for Bitcoin that appear on the surface to both be bullish.

First, there's a falling-wedge pattern of bullish reversal, marked in tan at the chart's left and center. This created Bitcoin's August breakout, which validated the pattern.

Second, Bitcoin's chart is now showing a giant double-bottom pattern, marked with green shading at the chart's center and right. Like the falling wedge, this is also a pattern of bullish reversal.

The problem here is that the double-bottom pattern's pivot (central apex) is at just about $81,700 – close to where BTC appears to have hit resistance in late August. (Bitcoin peaked at $81,442.02 last Thursday on Coinbase and was trading at $78,977.78 Tuesday morning.)