Bitcoin’s price has been on a rollercoaster lately, but it’s showing surprising resilience. Let’s break down what’s happening.
A Week of Volatility and Recovery
Bitcoin recently dipped to around $98,000 after some global market jitters. However, it quickly bounced back above $105,000. This recovery happened despite some serious profit-taking.
Big Money Cashing Out – But Bitcoin Holds Strong
Data shows that short-term Bitcoin holders (those who bought in the last month) have sold off a whopping $66 billion worth of Bitcoin since mid-April. That’s a huge amount of selling pressure! Surprisingly, the price hasn’t crashed. This suggests strong underlying demand is absorbing all that selling.
Technical Analysis: What the Charts Say
The four-hour chart shows a solid recovery from the $98,000 low. Bitcoin is currently trading around $105,300. It broke through a key resistance level, and trading volume has increased, showing real buyer interest. However, there’s a strong resistance zone between $105,500 and $106,000. Breaking through this zone with strong volume would be a bullish signal, potentially pushing Bitcoin towards $109,300. Until then, things are looking pretty neutral.
The Bottom Line: Awaiting the Next Move
Bitcoin is currently consolidating after a period of intense volatility. While a large amount of profit-taking has occurred, the price remains relatively stable, suggesting strong underlying demand. The next few days will be crucial in determining whether Bitcoin can break through key resistance levels and continue its upward trend. All eyes are on whether it can surpass $106,000 and push towards previous highs.
