Bitcoin rangebound, holding support above $46K

Bitcoin bitcoin (BTC, 0.66%) registered a series of lower price highs over the past few days as buyers continue to take profits. The cryptocurrency is stuck in a tight range between $46,000 support and $50,000 resistance and is roughly flat over the past week.

A consolidation phase is likely to persist this week as the Aug. 6 price breakout above $42,000 appears to be exhausted.

Bitcoin four-hour price chart

• The relative strength index (RSI) is almost oversold on the four-hour chart, similar to August 19 and August 26, which preceded brief price bounces.

• Initial support is seen around the 100-period moving average on the four-hour chart, currently around $47,000.

• Short-term momentum is deteriorating, which is typical during a consolidation phase. However, if $46,000 support is broken, there is risk of a deeper pullback towards the $42,000 breakout level.