#MarketRebound Profiting from Bitcoin Price Consolidation

Price consolidation is when Bitcoin trades in a tight range, showing balance between buyers and sellers. Traders can profit in several ways:

1. Range trading

Buy near support and sell near resistance while the range holds. Use tight stop-losses outside the range.

2. Breakout strategy

Wait for a strong move above resistance or below support. Enter on high volume confirmation to avoid false breakouts.

3. Volatility contraction setups

Tools like Bollinger Bands or ATR help spot low volatility. Big moves often follow periods of compression.

4. Options strategies (advanced)

Strategies like straddles/strangles can profit from volatility expansion after consolidation.

Key rule: manage risk carefully—consolidation ends suddenly, and fake moves are common.