On-chain analytics firm Glassnode has revealed important data about Bitcoin's resistance at the $117,000 level, which may impact BTC's short-term outlook.
Understanding Bitcoin Resistance
Glassnode presented data on Bitcoin's cost basis distribution, showing that significant BTC accumulation occurred between the $110,000 and $114,000 levels. This indicates that many investors bought Bitcoin in this range, forming an essential capital foundation.
$117,000 Level: A Key Resistance Zone
Glassnode identified the $117,000 level as the next significant resistance for Bitcoin. This level is based on the behavior of market participants and reflects where significant volumes of Bitcoin last changed hands. Increased selling pressure is expected around this level.
What to Watch for When Testing $117K
If Bitcoin begins to rise towards the $117,000 level, various market reactions can be anticipated. This could involve increased selling pressure, difficulties breaking above $117,000, or consolidation around this level. A breakthrough could indicate further growth, while a sharp rejection might suggest a need to test lower support levels.
Glassnode's analysis of $117,000 as a key resistance level offers valuable insight into the current market situation. It is essential to closely monitor Bitcoin's behavior near this level to predict its further price movements.
