Bitcoin Price Analysis: Keep an Eye Out for a Close Above the Current High

Shortly after falling from its test of the low $4,000s, bitcoin managed to find support in the mid $3,500s. This has proven to be a relevant level over the last few months, and finding support here would be a sign of relatively strong demand:Figure 1: BTC-USD, Daily Candles, Local SupportThe high candle spread rejection following our test of the low $4,000s was an indication that we had strong levels of supply left in the market, but for the time being we are holding support. Looking into lower time frame charts, we see that we are currently riding on top of both the symmetrical triangle shown above and the prior trading range (TR) sitting just below us:Figure 2: BTC-USD, 4-Hour Charts, Retest of Trading RangeOften, we see extreme wicks that drop into prior trading ranges as a method to generate liquidity for large capital traders. When the markets have relatively low liquidity, the volatility tends to pick up as the order books tend to be thinner. Yesterday, the wick lined up perfectly with a dip into the reaccumulation TR sitting just below us. The test was on high volume and was immediately capitalized upon by the bulls.Sometimes, when the market experiences prolonged consolidation patterns (like our symmetrical triangle), it will break out and retest the breakout zone to confirm bullish pressure is present. We are currently experiencing a potential retest of the symmetrical triangle breakout. If the retest holds, this co...