Chart of the Day - Thursday, July 13, 2023

Today’s Chart of the Day was shared by Conor White (@ConorWhiteRJ). Bitcoin broke out to fresh 52-week highs today, after consolidating in a sideways range around $30k over the past three weeks. This consolidation resembles a bull flag, which is a type of continuation pattern that marks a healthy pause within an uptrend. Crypto-related equities were even more impressive today, with stocks like $COIN, $RIOT, and $MSTR outperforming Bitcoin. Heading into today's pop, volatility had contracted to extremely low levels, suggesting a large move was brewing. Volatility will likely continue to expand as Bitcoin resolves higher out of this range. Today's action opens the door for a rally to $35k in the near term.