Bitcoin price analysis is bullish today.BTC/USD saw further consolidation yesterday.Market trades in a narrow range over the last hours.
Bitcoin price analysis is bullish today as we expect the current consolidation to be resolved with a break higher. BTC/USD has already set a higher local low, indicating a test of the $39,500 resistance should follow soon.
Cryptocurrency heat map. Source: Coin360
The market has moved slightly in the green over the last 24 hours. Bitcoin has gained 0.92 percent, while Ethereum 1.23 percent. Ripple (XRP) is one of the outliers as it has swiftly gained over 8 percent.
Bitcoin price movement in the last 24 hours: Bitcoin consolidates below $39,500 as further downside gets rejected again
BTC/USD traded in a range of $38,432.93 – $39,267.04, indicating mild volatility over the last 24 hours. Trading volume has declined by 38 percent, totaling $16.2 billion. Meanwhile, the total market cap has increased to $742.86 billion, resulting in a dominance of 42.49 percent.
BTC/USD 4-hour chart: BTC ready to break $39,500?
On the 4-hour chart, we can see the Bitcoin price approaching the $39,500 resistance again, likely leading to a break higher by the end of the day.
BTC/USD 4-hour chart. Source: TradingView
Bitcoin price as strong upswing during the first half of the week. However, selling pressure returned rather quickly, leading BTC/USD to a new higher low set around $39,000.
Since then, the market has traded sideways, with only a brief test of upside seen yesterday. However, further downside has clearly been rejected, indicating that the market is indeed slowly reversing to the upside.
Therefore, we expect the $39,500 current resistance to be broken in a clear way soon. The next minor obstacle would be the previous local high, around $40,000, meaning that a strong push higher would be needed to invite enough buyers in for a more serious rally.
Despite this, the Bitcoin price action has already established a strong base from which to rally further. The local higher low set over the last hours could soon be followed by the initial attempt to break higher, opening up the way for more upside over the next days.
Bitcoin price analysis: Conclusion
Bitcoin price analysis is bullish today as we have seen consolidation slowly lead to higher lows set over the last hours. Likely BTC/USD will soon break higher and look to set further higher highs.