$44,000 Target Loading for Bitcoin (BTC) Price: But Here’s the Catch

Story Highlights
With the altcoins gaining momentum, Bitcoin price trades in the pre-determined range, suggesting a shift of momentum from BTC to other tokens

Meanwhile, Star Crypto appears to be preparing for a huge swing, as huge volatility could soon be kicking into the space

The crypto markets have again begun to consolidate, with the Bitcoin price remaining stuck within a narrow range. The bulls and bears both appear to be extremely inactive, due to which the levels are failing to rise or drop from their respective resistance or support levels. This has raised huge concerns across the markets but at the same time, some look at it as an opportunity to accumulate as the BTC price is about to experience huge volatility.
Earlier, a notable amount of liquidity was seen scaling on either side of $43,000, which indicated that the market participants were unclear on the next move. Hence, they are preparing for both the bullish and bearish possibilities. In a new update, the cluster has appeared around $44,000 and it is expected that the token may soon reach these levels.
The data shared by a well-known analyst, anonymously known as Cryptoinsightuk, shows the formation of a large liquidity pool is building just above the range. Therefore, the BTC price is expected to soon attack the range, which may act as a magnet for price. Volatility may rise as a result of the large number of traders placing stop losses on short positions. However, liquidating the short positions may further trigger a fresh upswing, which may be a bullish signal for the BTC price.

The Bitcoin price is currently trading within a narrow parallel channel. With the ATR or average true range, which is a volatility indicator plunging towards lower support, more squeeze in the levels may be expected. Moreover, other technicals like DMI, RSI, MACD, etc. are flashing acute bearish signals, which suggests the Bitcoin (BTC) price may face some hindrance at the moment, but a steep upswing could be imminent.

Bitcoin

Bitcoin Price Faces Extreme Compression: Here’s What May Be Expected from the BTC Price Rally?

Bitcoin continues with its sluggish trend as the price remains stuck within a range-bound level. The extreme drop in volatility does flash bullish signals but the bearish knockout may not be eliminated. With the prices hovering within the range for quite a while, a strong base has been formed. This may lead to a massive bullish breakout, while pre-halving may tend to occur, which may also cease very soon.
The current trade suggests the price is either experiencing excessive pressure on either side or both the bulls and bears have become passive. Therefore, without much involvement from them, the price may have remained stuck at the same levels. Besides, more accumulation has been witnessed at these levels, as millions of addresses have accumulated millions of BTC at the current price level.

As per the data from Intotheblock, shared by an analyst, Ali, over 3 million addresses have bought nearly 1.5 million BTC between $41,800 and $43,080.
These levels have become one of the strongest support zones for the Bitcoin price as of now and this could be the reason why the BTC price triggers a healthy rebound each time it tests. On the other hand, the price has also been failing to rise above $43,800, which is the pivotal resistance that needs to be broken to initiate a fresh upswing. So will the BTC price break the resistance wall?
The above chart displays that the price is trading sideways, due to which the Bollinger bands are going parallel with each other. Even though the volume has dropped, the slight rise in the RSI flashes bullish hopes for the crypto. The bands are trading at the exact resistance and support levels. Hence, a breakout from either of the ranges may validate the respective price action.

The current trade setup suggests that the Bitcoin (BTC) price may reach the interim resistance and may even rise above $45,000 but it may result in a bearish pullback, back to the average levels of the band.