Expect Extreme Volatility as Bitcoin’s Consolidation Nears an End; Levels to Watch

Ethereum

Bitcoin and the aggregated cryptocurrency market are currently caught within a bout of sideways trading that first began earlier this week when BTC rallied from lows of $8,400 back into the low-$9,000 region.

This movement has led most major altcoins to see mixed price action, with Ethereum incurring some intense upwards momentum while many other altcoins drift lower.

It now appears that Bitcoin is on the cusp of making a massive movement as its bout of sideways trading nears and end, and there are a few key levels that analysts are closely watching in order to determine where it will trend in the weeks and months ahead.

Bitcoin Drift Lower, But Analysts Still Eye Further Upside

At the time of writing, Bitcoin is trading up just under 1% at its current price of $9,000, which is slightly below where it has been trading at over the past few days.

In the near-term, it does appear that $9,150 is the cryptocurrency’s near-term resistance, as it has been rejected here on multiple occasions over the past few days.

If bulls are unable to surmount this level in the near-term, it is possible that the cryptocurrency will be prone to seeing further downside, with it currently being at risk of losing the support it has established around $9,000.

Red – a popular cryptocurrency analyst on Twitter, shared his thoughts on Bitcoin in a recent tweet, telling his followers that he believes BTC is in a good position to see some upside, with this bullishness being invalidated if the crypto sustains its ongoing dip below the support it has established at $9,060.

“Mentioned yesterday on stream that BTC looks good for a long, and that an invalidation would be that low in blue. bulls should push hard in a few hours, let’s find out, long 9119,” he noted while pointing to the below charts.

BTC is About to Post a Massive Movement; Will it Favor Bulls? 

Josh Rager, another popular cryptocurrency analyst on Twitter, explained in a recent tweet that he believes Bitcoin’s ongoing period of sideways trading will soon come to a close, with the key resistance to watch sitting at roughly $9,500.

“BTC Price is compressed – price action is coming. Lots of eyes on $9400 to $9500, with that, I’ll look to BTC to move profits down to $9300s w/ POC and monthly/weekly levels. If price can break above the current resistance, traveling to $9300 shouldn’t be a problem,” he noted.

https://twitter.com/Josh_Rager/status/1236304685838897152

This weekend should provide investors and analysts with insights into where the cryptocurrency is heading next, as the resolution to its current consolidation will set the tone for the days and weeks ahead.

Featured image from Shutterstock.
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