Bulls eye the $19.5K resistance but low volume keeps Bitcoin price sideways


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As we speak was a comparatively uneventful day for Bitcoin (BTC) as the value continues to consolidate right into a tighter vary. 

As talked about by Cointelegraph contributor Rakesh Upadhyay, Bitcoin worth spent the weekend consolidating inside a bull pennant and the breakout to $19,418 was shortly stamped out by overhead resistance.

After retouching the pennant trendline, the value gave approach, falling beneath the 20-MA on the four-hour time-frame and briefly shedding the $19,000 mark.

Crypto market day by day worth chart. Supply: Coin360

Usually, most merchants appear to agree that after a raging 93% rally from $10,300 to $19,888, a interval of consolidation is important. Cointelegraph analyst Michaël van de Poppe said:

“On the upper timeframe, Bitcoin remains to be performing because it was final week. We’re nonetheless performing within the all-time excessive resistance zone. I nonetheless have my eyes on $16K, which we bounced from, and $14K as these areas nonetheless may very well be retested as help. Holding $19K is essential and if we have now a day by day shut beneath $18.9K I believe we’ll fall via.”

On the day by day and four-hour timeframe, merchants will observe that the value remains to be notching decrease highs and better lows, an indication that the value vary is starting to slender.

BTC/USDT 4-hour chart. Supply: TradingView

At the moment, the value remains to be holding throughout the pennant trendline as help, however a breakthrough within the construction would require a excessive quantity transfer as there may be persistent overhead resistance at $19,500.

As talked about in earlier evaluation, a drop beneath the $18,800 degree will see BTC seek for help at $17,900, and beneath that the $16,000 to $15,750 vary.

For the quick time period, risk-averse merchants are prone to preserve a detailed eye on the four-hour chart to see if the value can once more discover help above the 20-MA to be able to burst via the pennant. You will need to observe that this transfer would require important quantity to keep away from rejection within the $19,400–$19,500 resistance zone.

Bitcoin day by day worth chart. Supply: Coin360

Usually, altcoins pump larger throughout Bitcoin’s consolidation phases, however that has not been the case this time.

Whereas a choice of DeFi tokens and different obscure altcoins have moved larger, nearly all of the highest 20 cash are within the pink right now.

That is presumably as a result of the truth that buyers are reluctant to shift funds into altcoins whereas the Bitcoin worth is in such an indecisive place.

Skilled crypto buyers know {that a} sturdy bullish breakout from BTC may lead to altcoin-to-BTC pairs being crushed, whereas a bearish breakdown in BTC worth tends to lead to BTC and USD altcoin pairs receiving an equally catastrophic pummeling.

A number of standouts of the day are AAVE with a 8.54% achieve, Monero (XMR) shifting 5.19% larger and Waves’ rally of 6.23%.

In accordance with CoinMarketCap, the general cryptocurrency market cap now stands at $566.5 billion and Bitcoin’s dominance index at the moment at 62.6%.