Bitcoin continues to capture market attention as it hovers around $104,514, backed by a market capitalization of $2.07 trillion and a 24-hour trading volume of $26.48 billion. The price has been oscillating between $103,133 and $104,841, reflecting a short-term consolidation phase following its recent bullish surge.
Hourly Chart: Sideways Movement Signals Caution
On the hourly timeframe, Bitcoin appears to be trading in a sideways channel after peaking at $104,985. A quick rejection from this level led to a rebound from the $103,000 support zone—highlighting active buying interest. However, the declining red candle volume suggests that the bullish momentum is losing steam.
Bullish scenario: A confirmed breakout above $104,800 may serve as a strategic long entry.
Bearish scenario: A breakdown below $103,000, especially with increasing sell volume, could trigger a trend reversal.
4-Hour Chart: Distribution Phase in Progress?
The 4-hour chart shows Bitcoin forming a plateau pattern post an aggressive rally. Volume spiked at the recent top of $104,985 but has been decreasing ever since—implying distribution rather than accumulation. The formation of lower highs suggests early signs of bearish sentiment.
Key level to watch: The $102,500 support zone. A bounce from this level with volume confirmation could revive bullish hopes.
Daily Chart: Uptrend Intact, But Signs of Fatigue Appear
Despite short-term noise, Bitcoin maintains a strong macro uptrend on the daily chart, with higher highs and higher lows. Support is firmly established near $95,000, while resistance continues to hold at $104,985. Yet, the declining volume on green candles indicates potential buyer fatigue.
Buy zone: A retracement into the $98,000 to $100,000 range may present a healthy long entry, especially if a reversal pattern forms.
Technical Indicators: Mixed Signals
RSI: 75 – suggests overbought conditions.
CCI: 184 – also in overbought territory.
Momentum: 7,919 – signals bearish pressure.
MACD: Shows positive divergence (+4,110) – hinting at continued upward potential.
Conclusion:
Bitcoin is currently at a crossroads, with conflicting signals across timeframes. While the long-term trend remains bullish, short-term traders should stay alert for breakout or breakdown confirmation. Watching key support and resistance levels—along with volume patterns—will be crucial for making informed trading decisions.