Bitcoin’s price has stabilized in a narrow range since falling below $100K, facing uncertainty about future movements. Technical analysis highlights bearish conditions, especially on lower timeframes, while on-chain metrics indicate mixed signals regarding market participant sentiment. Upcoming price action may be influenced by testing key support levels, including $80K and $92K.

Bitcoin’s price has stagnated within a narrow range, leading analysts to question whether it will recover or face a more significant decline. Determining whether the market is witnessing accumulation or distribution is crucial for predicting its future trajectory.

In the daily timeframe, Bitcoin’s value has hovered around the $92K support level since falling from above $100K. Despite the Relative Strength Index (RSI) remaining below 50%, indicating bearish momentum, the asset is still positioned above the 200-day moving average of approximately $80K. There remains a potential for a decline towards the $80K zone before any bullish recovery can be anticipated.

Analyzing the 4-hour chart reveals that Bitcoin has been forming a symmetrical triangle pattern, which has yet to break in either direction. Given the recent rejection from the upper boundary, a test of the lower boundary appears likely. The RSI has also dropped below 50%, hinting at short-term bearish action. A breakdown of this triangle could see a decline towards the $92K level.

Examining on-chain metrics, particularly Bitcoin exchange reserves, provides additional insight into market behavior. Recent chart trends show a rapid decline in reserves, indicating a potential lack of buying interest. However, a slight increase in recent days suggests uncertainty among market participants. If this trend continues, a further price decline may be anticipated.

In summary, Bitcoin’s ongoing price consolidation indicates uncertainty regarding its future direction. The daily and 4-hour charts reveal bearish signals, particularly with the RSI below 50%. On-chain analysis highlights concerns over exchange reserves, suggesting potential for price declines. Observing these metrics will be essential for gauging future market movements around key psychological levels.

Original Source: cryptopotato.com

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