Skip to main content

Bitcoin Indicator Signals A Potential Shift In Momentum – Can Bulls Reclaim $100k?

Bitcoin is trading below the $100,000 mark, with bulls unable to reclaim this key level for over three weeks. The price has remained above critical demand zones, but market uncertainty and volatility continue to weigh on sentiment. Investors are growing impatient, as BTC’s price action has remained indecisive, fluctuating between attempts to break above supply and risks of a deeper correction.

Crucial data from Glassnode reveals that Bitcoin’s Short-Term Holder Spent Output Profit Ratio (STH-SOPR) on a 7-day Simple Moving Average (SMA) is once again testing the breakeven level at 1.0. This indicator measures whether short-term holders are selling at a profit or loss. Historically, a clean breakout above 1.0 confirms a shift in market momentum, often leading to strong rallies. However, failure to hold above this level has frequently resulted in renewed selling pressure and further price declines.

The next few days will be critical as Bitcoin tests this key metric. If BTC can reclaim $100K while the STH-SOPR breaks above 1.0, a bullish trend reversal may be confirmed. However, if rejection occurs, the market could face another wave of selling, pushing BTC into lower demand levels.

Bitcoin Price Action Remains Uncertain

Bitcoin has struggled below the $100K mark since late January, with bulls failing to confirm a recovery rally despite multiple attempts. At the same time, bears have been unable to push BTC below key demand levels around $90K, keeping the market locked in a tight consolidation phase. This prolonged period of indecision has left investors frustrated, as they anticipate a major move in either direction.

The short-term outlook for Bitcoin remains uncertain, with price action showing signs of consolidation. While long-term investors continue to hold, short-term traders are looking for confirmation of the next trend.  Glassnode’s data shared on X reveals that Bitcoin’s Short-Term Holder Spent Output Profit Ratio (STH-SOPR) on a 7-day Simple Moving Average (SMA) is once again testing the breakeven level at 1.0. This metric measures whether short-term holders are selling at a profit or loss, providing key insights into market sentiment.

Bitcoin Short Term Holder SOPR | Source: Glassnode on X

Historically, a breakout above the 1.0 level has confirmed a shift in momentum, often leading to strong bullish trends. However, failure to hold above this level has frequently resulted in renewed selling pressure. The last attempt in early January was successful but short-lived, making this test a critical moment for Bitcoin’s next move.

If BTC holds above key levels while the STH-SOPR pushes higher, a breakout toward $100K and beyond could follow. Conversely, another rejection could trigger fresh downside, putting key demand levels to the test once again.

BTC Holds Tight Range As Bulls Struggle

Bitcoin is trading at $95,500 after days of indecisive price action, struggling between key demand and supply levels. Bulls have been unable to reclaim the $100K mark, facing strong resistance every time BTC approaches this psychological level. At the same time, bears have failed to push the price below $94K, keeping the market in a narrow range.

BTC testing crucial demand | Source: BTCUSDT chart on TradingView

This prolonged consolidation suggests that a major move is on the horizon. Historically, when Bitcoin trades in such a tight range for an extended period, a significant breakout follows. If current demand levels hold and BTC finds momentum, a push above the $100K mark is likely in the coming days. Breaking this resistance could lead to an aggressive rally into price discovery.

On the other hand, if bears manage to take control and drive the price below $94K, BTC could test lower demand zones, with $90K being a crucial level to watch. For now, all eyes are on the market as traders anticipate Bitcoin’s next big move. One thing is certain—once BTC breaks out of this range, it will be a massive breakout in either direction.

Featured image from Dall-E, chart from TradingView



from Bitcoinist.com https://ift.tt/7c4nx6Y

Comments

Popular posts from this blog

Bitcoin ETFs Post Second Straight Week Of $500 Million Outflow — Details

The US-based spot Bitcoin ETFs (exchange-traded funds) recorded their second consecutive week of significant outflows over the last five-day trading period. This recent run of disappointing performances reflects the ongoing shift in investor sentiment in the United States. Over the past year, strong inflows into the US Bitcoin ETF market have constantly been associated with positive action for the BTC price. Fittingly, the price of Bitcoin has been consolidating over the past few weeks, struggling to pick up any real momentum. Bitcoin ETFs Record Fourth Consecutive Outflow Day According to the latest market data , the US Bitcoin ETFs registered a total daily outflow of $62.77 million on Friday, February 21. This latest round of withdrawals marked the fourth straight day (and the eighth day in the last nine trading days) that the crypto-based products would witness a net capital outflow. The Grayscale Bitcoin Trust (with the ticker GBTC) accounted for a larger percentage of Friday’...

Bitcoin Remains Range-Bound As Volatility Declines – Analyst Explains Price Action

Bitcoin has experienced frustrating price action in recent weeks, leaving investors impatient about its short-term direction. The price has been testing crucial supply levels between $98K and $100K, struggling to break out as uncertainty dominates the market. The lack of a clear move has led to speculation about whether BTC is preparing for a breakout or another correction. Adding to the uncertainty, the market was hit by negative news on Friday when crypto exchange Bybit was hacked, resulting in the theft of $1.4 billion in ETH. The incident caused fear and volatility, briefly dragging prices lower. However, Bybit responded quickly to reassure investors, easing some of the initial panic and stabilizing the market. Despite this, Bitcoin continues to consolidate in a tight range. Crypto expert Daan shared an analysis on X, noting that BTC is still ranging while volatility is steadily decreasing. As price compression increases, traders are on high alert for a potential explosive move....

OpenSea Dodges A Bullet As SEC Drops Investigation—Details

In a move that many in the crypto industry view as a positive signal, the US Securities and Exchange Commission (SEC) has officially discontinued its investigation into OpenSea, the leading NFT marketplace. This decision concludes months of uncertainty regarding the regulatory status of NFTs and their classification under US securities laws. SEC Decision Signals A Shift On February 21, 2025, Devin Finzer, the CEO and co-founder of OpenSea, said the SEC will not take any enforcement action against the firm. This comes following the August 2024 Wells Notice to OpenSea issued by the SEC, which indicated the possibility of legal action on alleged unregistered securities offenses. The outcome of this case suggests a possible shift in the way authorities handle NFTs, therefore affecting the whole scene of digital assets. For the industry, this outcome has been seen as a major turning point. Though they are in rivalry with OpenSea, Chris Akhavan, the Chief Business Officer of Magic Eden,...