#squarecreator -Bitcoin failed to break the resistance of 98,000 dollars due to an increase in profit-taking.
The price of BTC needs to close above 95,000 dollars on the daily chart for a push towards: 100,000 dollars.
The price of Bitcoin BTCUSD failed to surpass the resistance at 98,000 dollars on May 3rd. Since April 22nd, BTC prices have formed daily highs between 93,000 and 97,900 dollars, but could not close above 97,440 dollars.
The price action of Bitcoin has been erratic and within a narrow range over the past few days. With elevated profit-taking and a large amount of supply in profit, markets could experience volatile price swings towards key BTC price levels in the coming days.
Profits realized above "statistical levels"
Glassnode's senior researcher, CryptoVizArt.₿, stated that Bitcoin's surge to the range of 93,000-96,000 dollars has "pushed profit-taking volume above statistical levels."
In other words, the Realized Profit/Loss ratio shows that the volume of Bitcoin sold at a profit exceeds historical norms. This suggests increased selling activity by investors locking in profits, which often signals potential market peaks and increased selling pressure.
The chart below indicates that "for every dollar realized in loss, more than 9 dollars were realized in profit!" CryptoVizArt.₿ explained, adding:
"The fact that the price is still above 93,000 dollars is very surprising, which, in my humble opinion, is also risky."
Cointelegraph reported that BTC sales have increased near the level of 95,000 dollars over the past few days as short-term traders lock in profits.
Analyst Checkmate said that the current Bitcoin market is at a key "decision" point, so Bitcoin must overcome this price zone in the short term.
