Bitcoin and the entire cryptocurrency market have been stuck within a consolidation phase throughout the past few days, with BTC’s price stabilizing above its previous trading range highs of $11,200.
The strong break above this level was technically significant and helped allow it to see further upside.
The cryptocurrency’s weekly close is now just a matter of hours away, with a close above one crucial level potentially allowing it to see significantly further upside in the days and weeks ahead.
One trader noted that this weekly close will be critical for understanding Bitcoin’s mid-term outlook.
Bitcoin Consolidates as Weekly Candle Close Fast Approaches
At the time of writing, Bitcoin is trading up marginally at its current price of $11,400. This is around the price at which it has been trading throughout the past few days following its upsurge from recent lows of $10,600.
The cryptocurrency’s upwards momentum has stalled ever since it reached its current price levels.
Where it trends in the near-term will likely depend largely on how it reacts to $11,600, as this is the next key resistance level that may influence its mid-term trend.
Here’s the Key Level BTC Must Close Its Weekly Candle Above
One analyst explained that the upcoming weekly candle close will be a critical even for Bitcoin, as it may determine where it trends in the days, weeks, and even months ahead.
He specifically points to $11,300 as the key level to watch, as a close above here could provide BTC with a serious boost.
“The original decision to get long on BTC was validated with the continued strength. I’m out of the long now and awaiting an opportunity to buy spot and swing long or to remain flat. The weekly close will be important I need to see continued strength in holding above the red.”
The coming few hours should provide investors with significant insights into Bitcoin’s near-term outlook.