Bitcoin´s consolidation above $46,000 is an optimistic note for the market, experts stated

Bitcoin takes a breather on Monday after a rally that began on Sunday, capping what has been a quiet weekend for the cryptocurrency market, with total capitalization above $2.15 trillion and mixed signals for most tokens, ranging between moderate rises and falls. The largest cryptocurrency by market capitalization soared above $47,300 on April 3rd, a 2.6% gain, but has deflated since then, despite holding at $46,000.

The cryptocurrency´s consolidation at this price level "will be key to a bullish continuation toward the $50,000 milestone," noted Joe DiPasquale, managing director atBitBull Capital. "Although we saw a rejection around $48,000, as long as the cryptocurrency holds above $46,000, the 'bulls' can hold out hope for another upside move." However, the expert warned that if we lose these levels, the $40,000 level may be tested again".

Technical analysis indicates, on the other hand, that the correction from the highs of the year fit for the moment absolutely within normal parameters. "In fact, it is simply a return to the new support zone, formerly resistance," stated José María Rodríguez, analyst at Bolsamanía. For the expert, after having fallen back to the new support of approx. $45,000 (the top of the symmetrical triangle), previously resistance and now support, "if we believe the figure, the truth is that from here and with its counter-trend corrections, it should straighten its course towards $60,000 and above (the minimum theoretical projection of the triangle)".

Ether, the second largest cryptocurrency by market capitalization, followed a similar pattern, pulling back and then recovering ground to jump above the $3,550 level, up around 3% over the past few days.

The major 'altcoins' had a mixed performance, as some rose and others fell slightly. The Meme coin, Doge, was up around 5%. Doge's alternative, Shib, rose more modestly. Solana and Cardano were recently up 3% and 2%, respectively. Terra's Luna token was down 2%.

The late-weekend surge in cryptocurrencies was a slight deviation from the performance of the major equity markets on Friday, which did little more than hold ground from the previous day. The tech-heavy Nasdaq and S&P 500 fell slightly as investors appeared to brace for the U.S. Federal Reserve and other central banks around the world to continue to pursue more aggressive monetary policies.

Low interest rates and central bank stimulus, that can lift the economy out of its sluggishness, drive asset prices higher. However, when inflation rises and the economy overheats, central banks reverse these accommodative policies, often leading to increased market volatility.

Meanwhile, the macroeconomic environment remained as volatile as it has been since Russia invaded Ukraine five weeks ago. After images surfaced of horrific civilian casualties in Bucha, a town near the Ukrainian capital Kiev, German Defense Minister, Christine Lambrecht, commented during a television interview that the European Union (EU) should consider halting Russian gas imports.

Countries in the EU bloc have resisted the move, fearful that it would send their economies into recession. Brent crude oil, a widely watched measure of energy prices, was trading at $102 a barrel, up massively from where it started the year.