🌟Why is the price of Bitcoin 'stagnating'?
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1. Market instability due to Trump's tariffs: The imposition of new tariffs from the White House, particularly in the semiconductor sector, has increased market instability, making investors more cautious when investing in Bitcoin.
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2. Technical analysis:
- The price of Bitcoin is situated between two major trend lines:
- 50-day SMA around $84,400 (support).
- 200-day SMA around $87,500 (resistance).
- The RSI is close to 52, indicating a balance between buying and selling pressure. To increase in price, it needs to surpass the 200-day SMA and the psychological resistance level of $90,000. If it falls below the 50-day SMA, the price may adjust further.
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3. Liquidity cluster: Data shows many sell orders around the 200-day SMA and buy orders below the 50-day SMA, creating a market structure oscillating within this range.
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4. Economic factors: Pressure from inflation, rising interest rates, and layoffs are making investors cautious and prone to selling Bitcoin as economic conditions tighten, although long-term potential still exists.
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🔹Combining the factors of instability from tariffs, technical resistance, liquidity clusters, and economic pressure is causing the price of Bitcoin to maintain stability without significant volatility.