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Bitcoin [BTC/USD] Price Analysis: Coin awaits imminent breakout in near future

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Bitcoin [BTC/USD] Price Analysis: Coin awaits imminent breakout in near future
Source: Pixabay

Bitcoin’s investor sentiment is positive considering the developments in the ecosystem. However, the price of Bitcoin doesn’t seem to be going anywhere as it is consolidating and moving in a sideways trend.

The price of Bitcoin, at press time, was $3,846 and the market cap was at $68 billion. The trading volume was hovering at $8.9 billion in the 24-hour time frame.

The largest contribution to the trading volume was from the exchange, BitMEX, via trade pair BTC/USD.

1-hour

Source: Trading View

The one-hour chart showed a downtrend that extended from $4,163 to $3,859, while the uptrend extended from $3,732 to $3,800. The price was bouncing off the support at $3,848. The subsequent resistance for Bitcoin was at $3,953.

The Parabolic SAR markers indicated a bearish pressure as they had formed above the price candles.

The MACD indicator was nearing the zero-line and indicated a consolidation. The lines, however, indicated a bearish crossover.

The Relative Strength Index showed an equal momentum from both the sellers and the buyers.

1-day

Source: TradingView

The one-day chart of Bitcoin showed a downtrend that extended from $9,800 to $3,875. The support at $3,122 bounced the price towards the immediate resistance at $4,111. The subsequent resistance was seen at $7,641.

The Aroon indicator showed a dominant uptrend that reversed as the downtrend was gaining strength.

The Stochastic RSI came short to hitting the oversold zone and was undergoing a bearish crossover to the bottom.

The Chaikin Money Flow showed the CMF line just above the zero-line and indicated a slight dominance by the buyers.

Conclusion

The one-hour chart showed consolidation and a slight pressure by the bears, which was confirmed by the Parabolic SAR, MACD and the Relative Strength Index indicators. The one-day chart showed a consolidation phase for Bitcoin as well. The Aroon indicator and the CMF showed a bullish trend for Bitcoin, while the Stochastic showed the beginning of a bearish trend.



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Akash is your usual Mechie with an unusual interest in cryptos and day trading, ergo, a full-time journalist at AMBCrypto. Holds XRP due to peer pressure but otherwise found day trading with what little capital that he owns.

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