With the end of the year just a few days off, Bitcoin (BTC) looks set up to close 2022 nether $x,000. Despite the digital asset's inability to alter the surly trend that has held a tight grip on price since June 26, the most recent price action has been a godsend for intraday traders playing the relatively predictable range.

Cryptocurrency market daily overview. Source: Coin360

Volition volatility increase alee of the monthly close?

The daily nautical chart shows Bitcoin price continues to merchandise in a tightening range and the Bollinger Bands indicator suggests that traders can look some volatility over the coming days equally the upper and lower bands are tightening and the monthly close fast approaches.

BTC USD daily nautical chart. Source: TradingView

The toll is also in the golden pocket (the zone between the 0.65% and 0.68% Fibonacci retracement levels) simply whether this is bullish or bearish signal depends on a trader's perspective.

Some say that if the price is ascension into the golden pocket this can be interpreted as a place to open a curt position, specially if in that location is strong overhead resistance. Alternatively, if the toll is descending into the gold pocket traders will view this equally an opportunity to open up a position in anticipation of a bounce.

As information technology stands now, BTC price is trading higher up the middle moving average of the Bollinger Band indicator and the volume contour visible range (VPVR) shows the price supported at $7,200, a point which Bitcoin has ridden along for the last 4 days.

Thus, over the short-term, it seems likely that Bitcoin is en-route to have a get at $7,400, which is the most immediate resistance that the digital nugget has struggled to flip to support over the by week.

Key resistances must become support

BTC USD 6-hour chart. Source: TradingView

Further brusk-term bullish evidence can be drawn from the six-hr timeframe where the moving average convergence difference (MACD) is on the verge of a bull cross with the betoken line pulling above 0 and the histogram is coming closer to flipping positive.

Traders will also notice the "three white soldiers" candlestick blueprint on the half dozen-60 minutes chart. Cointelegraph contributor Scott Melker recently wrote that this pattern oftentimes marks the reversal of a brusque-term downtrend.

Traders who rely on moving averages for insight will notice that the 12 and 26-period exponential moving averages have converged on the 6-hour timeframe. While on the daily timeframe the cost is pinched between the two as the 12-EMA inches closer to the 26-EMA.

BTC USD daily chart. Source: TradingView

While momentum is building and Bitcoin looks bullish on the shorter timeframes, the price volition demand to sustain to a higher place $seven,290 and flip $vii,300 to support in society to take another shot at the $vii,400 resistance.

The views and opinions expressed hither are solely those of the author (@HorusHughes) and do non necessarily reflect the views of Cointelegraph. Every investment and trading motility involves hazard. You should conduct your own research when making a decision.