In the past 24 hours, bitcoin still remains in the $6,800 level.
From the look of things, the cryptocurrency has been limited to an increasingly narrow price range for about a week now, with both the bulls and bears unable to make a significant shift in either direction. Presently, bitcoin is trading at $6,840 on Bitfinex.
But even though for both investors and traders, the sideways trading seems quite boring, things might get interesting very soon.
Looking at technical theory, the wider range and the duration of the consolidation zone, the more intense it will get.
The high range is $7,510 and the low range is $6,425. This means bitcoin could possibly experience a $1,000 shift on either side, given the status of the bullish/bearish.
A negative shift could mean a sell-off to $5,500. This way, the bitcoin low will be similar to that of the November low of $6,000.
Yet still, only a logical break below $6,570 would boost the bearish side. This means the bearish flag decline will improve the chances of a further decline below the market.