Currently, Bitcoin shows signs of price momentum weakness, which may lead to a breakdown below the crucial $100,000 mark. Market expectations for volatility remain high.
Bitcoin Price Analysis and Possible Targets
Recent Bitcoin market insights suggest a potential decline below $100,000. Traders, including ZAYK Charts, have warned of a shift into a 'distribution phase', with new targets emerging around $95,000, a level not seen since early May. Using the Wyckoff method, traders predict that the current price may subsequently drop to this mark.
Distribution Signals and Their Implications
Analysis shows that Bitcoin is actively moving into a distribution phase, suggesting a possible trend reversal. 'After a strong Accumulation Phase in March-April confirmed by bullish RSI divergence, BTC entered a powerful Mark-Up phase, reaching new highs,' notes the trader. Currently, market price action has become less exuberant, showing signs of weakening momentum.
Potential Volatility and Market Impact
Other traders, such as Daan Crypto Trades, are paying attention to the gap in Bitcoin futures from CME, currently around $117,000. The market anticipates high volatility ahead of important economic data releases, such as the Consumer Price Index. Results could have an immediate impact on cryptocurrencies and risk assets.
Due to the current market dynamics, Bitcoin may face serious challenges in its effort to hold above the critical $100,000 level. Expectations for further volatility heighten the situation, especially in light of impending economic indicators.
