4-Hour Analysis:
Big Picture: A very sluggish and choppy market activity was noticed during the weekend. The consolidation is still in place, and price has yet to break out in either direction. However during the past few days Bitcoin has held onto the previous All-Time High level and has not allowed any daily closure below this level. As long as this level holds, an upward push remains possible.
On the Upside the initial resistance level has dropped below 20,050. The resistance in this case is a converging triangular trendline. The next level of resistance is seen at 20,300-20,400. This level has been acting as resistance for the previous two weeks, limiting the chance for a breakout. Bulls still want a holding above this level in order to extend the gain initially towards 21,200 and 21,750. While strength above 21,750 leads next towards 22,200 followed by 22,800 and could eventually look to target 23,450.
On the Downside on lower time frames, 19,800 has begun to crumble, but on a daily time-frame, it remains firm. This indicates that a reaction from bulls is required to protect this level, since further tests will weaken it even further. Below this the converging triangle trendline is offering excellent support around 19,600. Both these levels hold key importance and losing them would expose Bitcoin next towards 19,250-19,050 and could lead further slippage.
