- Bitcoin’s price appears to have entered yet another consolidation phase as it trades between $11,400 and $11,600
- Its present lack of momentum comes close on the heels of the strong move higher that it posted last week
- The resistance above its current price level is quite intense, and this may mark an attempt from bulls to garner greater buy-side support
- Where the market trends in the mid-term will likely depend largely on whether Bitcoin’s consolidation phase results in a breakout or a breakdown
- One analyst believes that Bitcoin will move like a “bulldozer” once it can determine which direction it wants to trend next
This consolidation has come about closely following the series of strong upwards movements seen just a few days ago that helped end its previous consolidation phase and push it past the resistance it faced between $11,000 and $11,200.
One analyst does believe that the next big movement that BTC makes will provide it with lasting directionality.
He even notes that the benchmark cryptocurrency will move like a “bulldozer” once this next trend-defining move is made.
Bitcoin Consolidates Around $11,400 as Buyers and Sellers Reach an Impasse
At the time of writing, Bitcoin is trading down marginally at its current price of $11,410. This is around where it has been trading throughout the past few days.
Its inability to garner any momentum has come due to the intense selling pressure that sits around $11,600.
Each attempt to move past this level has resulted in strong rejections, which indicates that a break above this level would hold some serious technical significance.
The lower-$11,000 region does seem to hold some support for Bitcoin, and it will require some serious selling pressure for it to be broken below.
Analyst: BTC Likely to See a “Bulldozer” Move Once It Gains Momentum
He pointed to the ongoing volume compression seen by the crypto, noting that it indicates a massive move is on the horizon.
“BTC: 2nd major volume compression underway this year… Watch out for the bulldozer when this baby picks a direction,” he said.
Image Courtesy of Josh Olszewicz. Chart via TradingView.
The coming few days and weeks should offer analysts and investors insights into Bitcoin’s near-term outlook.
Featured image from Unsplash. Charts from TradingView.