Bitcoin Price Consolidation Narrows; Is a Potential Breakout Ahead?

Bitcoin price BTCUSD
Bitcoin – BTCUSD

Trading on bitcoin price last week was limited. BTCUSD bounced off support at $9,000.00 and resistance at $9,475.00. However, as the consolidation on the cryptocurrency gets narrower, the potential for a breakout also increases. 

On the 4-hour time frame, it can be seen that bitcoin price is currently testing a confluence of resistance around $9,330.00. This price coincides with the 200 SMA as well as the falling trendline (when you connect the highs of June 1, June 10, June 22, and July 8). If resistance at this price holds, we could see BTCUSD soon fall to Friday’s lows around $9,153.48. If support at this price does not hold, bitcoin price could drop to $8,830.63 where it bottomed on June 27.

On the other hand, it is worth pointing out that the cryptocurrency recently bounced off support at the rising trendline from connecting its recent lows (June 27, July 5, July 10, and July 12). This price, around $9,180.00 also aligns nicely with the 100 SMA as well. This could suggest that there may be buyers in the market that could push price higher. A strong close above Friday’s highs at $9,347.76 could indicate that bullish momentum in the market is stronger. Should this happen, we may soon see bitcoin price retest last week’s highs at $9.479.57. If resistance at that price does not hold, the next ceiling could be at $9,798.76 where BTCUSD peaked on June 22.

Bitcoin Price, 4-Hour Chart

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