8-Hour Analysis:
Big Picture: Price is experiencing an enormous reduction in current momentum and price activity following the previous week’s aggressive profit-taking. An extremely narrow range is currently in effect, causing price to act sluggish generally. Furthermore, the recent slowdown indicates a potential shift in trend and momentum.
On the Upside the resistance levels remain unchanged at 43,050, followed by 43,200 and 43,455. These levels are now making it difficult for bulls to establish any sustained momentum. Acceptance is needed above 43,455 if bulls are to recover towards 43,900, followed by 44,500 resistance. Above 44,500, the next resistance level is at 45,200, which is the 50% Fibonacci retracement of the current corrective cycle. This level is expected to cause some significant potential profit-taking.
On the Downside price is currently receiving strong support around 42,540 to 42,470 levels. These levels have held strong for the majority of the current range-bound environment. Furthermore, as long as these supports hold, Bitcoin will be protected from any deeper falls further. However, below 42,470, the next support comes from the trendline levels between 42,160 to 41,950.
