4-Hour Analysis:
Big Picture: Range-Bound environment continues. However, U.S Inflation Data could act as a volatility trigger for the market and act as a range break. We have seen price range around 42400-45500 for a few days now forming a symmetrical triangle pattern. The structure is now getting closer to a break-out & ideally a break above 45500 would lead towards 46600 followed by 48k initially. For Bears they need to grind prices below 38k to regain their grip over market otherwise any Dip will be treated as an opportunity to load up.
On Upside Initial resistance is seen between 44800 followed by 45400-45500 which remains to be a strong resistance that is capping the upside. Bulls are still eyeing a test on Range Mid-Point and EMA-200 Daily. Both these ranges are present nearly on same levels around 46600-46800. So expect profit-taking at this level. However reclaiming this level and holding above it would strengthen bulls and put BTC back into bullish territory with upside targets of 50-53-56k initially.
On the Downside 42950 acted as a good intra-day support which protected further downside. 42950 is still first intra-day support followed by 42450 and eventually 41000-40500 level. However a break below 40500 will open further extensive re-test zones around 39500 and 38k. Holding below 38k would be a red carpet invitation for Bears.
