- BTC retests $57,000 resistance overnight.
- Next support at $54,000.
- Middle-of-the-range support/resistance at $55,500.
Today’s Bitcoin price prediction neutral as the market trades in an incredibly tighter range after setting both a lower high and a higher low. Therefore, we expect further sideways movement over the next hours.
The overall market trades in the green today as the market recovered some of the previous losses. Market leader Bitcoin is up by 3.5 percent, while Ethereum has returned above $2,300 and trades around 10 percent gain. Binance Coin has one of the best performances and trades with a 22 percent gain. Meanwhile, Dogecoin, which pushed higher over the past days, is one of the worst performers with a loss of 20 percent.
Bitcoin price prediction: Bitcoin trades in an increasingly tighter range after setting a lower low at $57,000
BTC/USD opened at $56,477 after a slight bullish close yesterday. Since the market set both a lower low and a higher high, we assume that the market is in a consolidation phase right now. Therefore, until either the current support of $54,000 or resistance at $57,000 is broken in a clear way, we expect BTC to continue ranging later today without a clear direction.
Bitcoin price movement in the last 24 hours
The BTC/USD price moved in a range of $53,448 – $57,062, indicating a good amount of volatility. The 24 hour trading volume has dropped by 4.63 percent and totals $63.35 billion. Market dominance stands at 50.26 percent, with the total market cap just above the $1 trillion mark.
BTC/USD 4-hour chart – BTC returns to $55,500
On the 4-hour chart, we can see BTC trading in the middle of the current consolidation range around $55,500. Unless either a clear higher high is made later today, we should see the Bitcoin price action continue consolidating.
Overall, Bitcoin has dropped slightly more than 20 percent since the previous all-time high was set at $65,000 on the 14th of April. After several slightly lower lows and highs initially, the market saw a sharp spike to the downside on Sunday until support was found around the $51,500 mark.
After an initial spike lower, BTC/USD made a retest of further lows around $53,000 and set a higher low. Early on Monday, BTC peaked just above the $57,000 mark, after which another reversal was made, resulting in another higher low. Therefore, we can assume BTC/USD is slowly building momentum for a major reversal back to the upside.
Overnight, the Bitcoin price action pushed higher again and set another lower low around the $57,000 resistance. This indicates that the current several-day price action is neutral as the market consolidates in an increasingly tighter range. However, given that the previous several-day bearish momentum is exhausted itself, we expect BTC to break to the upside later this week.
Once the $57,000 resistance is broken, we can see the BTC/USD price rallying much higher as the next resistance is located at $59,500. From there, BTC will likely retrace and retest the $57,000 current resistance as support before rallying further towards the previous all-time high at $65,000.
Bitcoin Price Prediction: Conclusion
Bitcoin price prediction is neutral as the market has set a lower low overnight, indicating that the several-day price action is trading in an increasingly tighter range. However, given the previous bearish Bitcoin price momentum, we assume that the market will break above the $57,000 resistance later this week.
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