BTC Price Consolidation Continues But All Signs Point To A Race To A New ATH – Bitcoin Price Analysis

Bitcoin price has been consolidating for nearly 3 months after hitting a new all-time high around $74,000.

Since then, the asset has failed to produce a new peak, but a new rally could soon begin.

Technical Analysis

By TradingRage

The daily chart

Bitcoin price action has been choppy on the daily time frame as the market has been consolidating within a descending channel. However, the asset is currently testing the upper boundary of the channel and the $68,000 level.

Although it has not been successful on the upside, the momentum remains bullish, and this breakout could happen at any moment. In this case, the market can climb towards the all-time high of $75,000 and potentially make a new one.

The 4 hour chart

The 4-hour chart paints a clear picture of the recent consolidation. The price is hovering around the $68,000 level in a symmetrical triangle pattern. Given the price action within the pattern and the fact that the market has already touched the lower trend line of the triangle three times, a bullish breakout based on classic price action concepts seems likely.

Meanwhile, the RSI is still hovering around the 50% level, pointing to no potential near-term direction. So it all depends on the direction of a triangle break.

Chain analysis

By TradingRage

Bitcoin Exchange Reserve

As the price of Bitcoin continues its gradual move towards a new all-time high, investors are also becoming more bullish. This graph shows the exchange reserve metric, which measures the total amount of BTC held in exchange wallets. Naturally, a drop in the metric is considered bullish as it practically reduces the supply, while a rise is bearish as more BTC are ready to be sold.

As the chart demonstrates, Bitcoin’s exchange reserve metric has declined sharply since February. This reduction in supply was one of the factors that contributed to the recent recovery. The decline has even sharpened in recent days as investors expect a rally to a new all-time high soon. This decrease in the exchange reserve could be just what the market needs to do.

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