DailySun
Bitcoin’s recent stagnation is to be expected, as its price movement remains trapped within a tight lower time frame trading channel. Without a clear breakout from either support or resistance accompanied by substantial volume, anticipate ongoing fluctuations, uncertainty, and frustrating fakeouts for both bulls and bears.
Since April 23rd, Bitcoin (BTC) has been moving sideways, confined between $91,610 support and $95,700 resistance. This range has acted as a short-term acceptance area for the price, with BTC struggling to build momentum beyond either boundary. As long as this structure is intact, the market will continue to coil within it, oscillating between established levels without any trend confirmation.
Key technical points
- Range Boundaries: $91,610 (support) and $95,700 (resistance)
- Current Structure: Lower time frame consolidation zone
- Indicators in Play: 200 MA, Point of Control (PoC), VAH/VAL levels
Price movements have largely been dictated by key volume zones such as the Value Area High (VAH), Value Area Low (VAL), and the Point of Control (PoC). These levels identify the most heavily traded areas within the range, establishing credible zones for short-term reactions.
Additionally, the 200-period moving average has acted as a dynamic support level, providing temporary relief to buyers during minor pullbacks. A breach of this level would indicate weakness and likely initiate a full rotation down to the range low.
Despite some volatile intraday movements, BTC has not yet achieved a meaningful breakout. The lack of volume accompanying these attempts supports the ongoing range-bound behavior. From a market structure perspective, the asset is still seeking equilibrium, a fair value zone that satisfies both buyers and sellers.
Why price action is moving like this
This type of choppy movement is typical during consolidation phases. When prices are confined between clearly defined support and resistance, it reflects market indecision. Currently, there is no strong fundamental impetus driving BTC past these levels, and market participants are awaiting confirmation before committing to a direction.
A breakout from either side of the range, supported by volume and conviction, will determine the next trend. Until then, the market remains balanced, with price action constrained by these local highs and lows.
What to expect in the coming price action
Traders should stay alert for a definitive break of either boundary. A confirmed breakout above $95,700, supported by strong volume, would indicate bullish momentum, while a drop below $91,610 could trigger a bearish movement. Until then, Bitcoin is likely to continue fluctuating within this clearly defined lower time frame channel as it works towards establishing its next trend.
