Bitcoin Consolidates

Neither this post nor any other one on cryptofal.com should be taken as financial advice. It is not.

Bitcoin is continuing to consolidate on the 4-hour candle chart.

BTC’s volume has started to settle over the holiday weekend. Not only is the volume settling, but so is a bit of the volatility. On the technical side, BTC’s MACD is currently looking to swing downwards, however only very slightly. The MFI is holding fairly steady in this range, but it is attempting to swing downward. Currently, BTC’s price is testing support in the low $42k range.

The overall cryptocurrency market cap is currently holding around $2 trillion. It has struggled over the past week or so with resistance around $2.1 trillion or so. Overall cryptocurrency market volume has also dipped drastically to about $68 billion. We haven’t seen overall volume levels this low in awhile. Both BTC and ETH dominance are holding fairly steady at 39.7% and 19.1% respectively.

ETH is following similar patterns to BTC’s price action. Both its MFI and MACD are mirroring BTC’s patterns, just at slightly more volatile price movements in both directions. With ETH dominance and BTC dominance both holding steady, it’s not too surprising to see ETH mimicking its older brother’s movements. That being said, if BTC and ETH are able to hold in this range, it would not be surprising to see ETH outpace BTC a bit along with altcoins.