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Bitcoin (BTCUSD) - Key Levels Within Consolidation

Bitcoin has dipped in August and is ending the month in the middle of its 2015-range, which is roughly between 310 and 160 (around 230). The 4H chart shows the consolidation price action as we wind down the month.

Bitcoin (BTCUSD) 4H Chart 8/30
(click to enlarge)

Even though bitcoin is trading around the equilibrium price, there is a lot of bearish momentum in the short to medium-term. The very short-term momentum might be neutral, but in the 4H chart, we can see that the RSI held under 60, which means that the momentum in this time-frame is kept bearish. Also, price found resistance again around 237, a previous resistance and where the 100-period SMA resides.

The technical picture still suggests a bearish market, and as bitcoinc is still near that 237 resistance, we might see some further bearish action in the short-term heading into another global trading week. The 227 level is a common support area. If price falls below 225, we should anticipate a push to he 195-200 area. A break above 240 on the other hand neutralizes the bearish momentum I mentioned in the short to medium-term. There might be some bullish outlook after a break above 240, but I would refrain from expecting price to reach back to the 310-320 highs on the year before another strong bearish swing back to 2015 central pivot area around 230.