4-Hour Analysis:
Big Picture: Bitcoin’s session yesterday was very volatile, as the price also marked a monthly close. After testing the lower supports, the bulls were able to gather a decent push-back towards the higher levels, but the immediate resistance zone higher carried a strong rejection, resulting in an Evening Star Candlestick Pattern which led to an even stronger round of selling.
On the Upside a few of new resistances have surfaced. The session’s key resistance is at 42,270, which previously served as both a horizontal and dynamic support. This level, as well as the 42,450 barrier, must be passed for the price to re-attempt into 43,300 and 43,545 to 43,700 levels. For bulls to have a bigger push to the upside, a sustained breakthrough above 43,700 is essential.
On the Downside 41,855 has stepped up as the day’s important support level. It has now somewhat relieved the persistent selling pressure. However, the pressure is relentless, and if bulls do not step up soon, the downtrend might extend even lower into 41,455 level, and potentially towards the Mid-Range level of 40,620.
