Bitcoin sparks fresh volatility as BTC price reaches a 4-day high near $29.6K

Bitcoin (BTC) reached a multi-day high after the Wall Street open on Aug. 14 as modest volatility spread across the market.

BTC/USD hourly chart. Source: TradingView

Bitcoin traders offer “some action” after a steady weekend

Data from Cointelegraph Markets Pro and TradingView Tracking a journey past $29,500, marking Bitcoin’s highest price levels since Aug. 10.

Extraordinarily flat trading conditions, followed by a short drop to $29,000 support, included price action over the weekend, and this now appears to be giving way to more interesting behaviour.

When analyzing the current setup in the exchange order books, popular trader Daan Crypto Trades pointed out what could be a “sneaky” selling wall in place to keep the spot price suppressed.

“The wall is absolutely over priced.” That should push the price down. These large orders are often deceptive orders with no intent to actually be executed.” Tell X (formerly Twitter) Followers.

“It shows that there is some action going on on the books in this price area.”

Annotated BTC/USD chart. Source: Daan Crypto Trades / X

However, bitcoin remained below a major resistance area for the bulls to turn on, with $29,700 still a line in the sand to continue.

“BTC will soon challenge its multi-week streak of lower highs to attempt a breakout,” noted trader and analyst Rekt Capital and expect per day, with reference to the weekly timeframes.

Annotated BTC/USD chart. Source: Rekt Capital / X

The recent weekly close was significant despite the lack of volatility, coming in just above the key $29,250 level that the bulls required.

Thus Rekt Capital suggested that “a rebound may be soon” for BTC/USD.

Dollar paused after rebounding 4%

This week’s macroeconomic moves opened slightly higher in US stocks, while US dollar strength waned at resistance last seen in July.

Related: Bitcoin Price Breakout at the End of August? 5 things to know in bitcoin this week

The US Dollar Index (DXY) approached its July peak above 103.5 on the day before turning lower.

The past month has seen a significant rebound in DXY from its lows below 100 – something that traditionally acts as a headwind to the performance of the cryptocurrency market.

Situation Analysis Caleb Franzen, Senior Market Analyst, Cubic Analytics, weather forecast “Breakthrough or rejection is on the cards.”

Stock market bulls want rejection. Part of the commentary mentioned that the bears in the stock market want a breakout.

US Dollar Index (DXY) chart for one day. Source: TradingView

The Journal: Deposit Peril: What Are Cryptocurrency Exchanges Really Doing With Your Money?

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should do their own research when making a decision.