BTC- “Congestion Building Up”

4-Hour Analysis:

Big Picture:BTC is still indecisive in nature, waiting for a catalyst to break out. However, many assessments are now indicating that this situation is about to change and that the consolidation is nearing its end. Going forward, there are a few views that may be of interest while remaining inside the range. Moreover, Price is now clearly showing liquidity trapping behavior. There are two levels in the range that have a lot of liquidity. One is the lower support level of 37,300, while the other is close over intra-day resistance. Price may seek to hit these areas before making a final breakout move.

On Upside the initial intraday barrier is identified between 41,100 and 41,400. This level has been limiting any further upside for quite some time now, making it a very strong intra-day level. This level must be breached in order for there to be more upside. Failure to do so on a consistent basis will result in intraday profit-taking. Following that, we have a critical level in the form of the MA-200 12-hourly at 42,550, which might operate as a possible turning point. Rejecting this level will result in intense profit-taking; however, if bulls can recapture and turn this level into support, expect upside to extend to 43,950, 44,400, and 45,500.

The Downside initially a strong support is seen at 40,000 level followed by 39,650. Both these levels have enough strength to partially protect downside. However they are still not very strong so multiple attempts to break this level will eventually succeed and if that happens expect 38,800 as next downside followed by 37,550. Now this region 37,550-36,950 remains to be a liquidity pool that could potentially act as a target for price. order to negate this price needs to trigger a breakout above 45,550.