Key Takeaways:
Bitcoin price hits $110,000, but lackluster spot buying demand suggests upside may be limited.
High retail FOMO and near overbought RSI signals could lead to a BTC price pullback.
The Bitcoin (BTC) price has formed a series of lower highs and lower lows on the 1-hour time frame after reaching a three-week high of $110,300 on Wednesday (July 2).
As the weekend approaches, the BTC price fails to break through the all-time high of $112,000.
BTC/USD hourly chart. Source: Cointelegraph/TradingView
What's Keeping Bitcoin Price Below $112,000?
Bitcoin prices have risen 5% over the past 48 hours, reaching an intraday high of $110,392 on Thursday (July 3), according to data from Cointelegraph Markets Pro and TradingView.
Nonetheless, the ability to break through the all-time high of $112,000 is currently limited due to a lack of buyers.
Bitcoin’s spot volume differential indicator shows that net spot buying on exchanges remains negative even as BTC price attempts to breakout.
This suggests a lack of momentum, which could lead to a pullback or consolidation if the derivatives-driven rally dominates without spot market support.
“BTC is breaking out, but where is the spot demand?” market data resource Swissblock Technologies said in its latest X post, adding: “Without real demand, the breakout is just spinning in circles. We need buyers to sustain the price breakout.”
Bitcoin spot volume spread. Source: Swissblock
Looking ahead, K33 Research noted that spot trading volumes from June to October tend to be much lower than the rest of the year, with July historically being one of the quietest months, accounting for just 6.1% of annual volume. This could prevent BTC from setting new highs in the coming weeks.
“While July 2025 brings potential catalysts, including Trump’s budget bill, tariff decisions, and the deadline for the crypto executive order, seasonal patterns suggest the market may continue to languish on low volume and volatility despite a busy news backdrop,” K33 Research wrote.
Monthly annualized volume percentage. Source: K33 Research
As Cointelegraph reported, Bitcoin price needs new demand from spot buyers to break out of the current range and enter price discovery.
BBTC price may see “brief upward pause”
Bitcoin’s surge to $110,000 has sparked intense FOMO, with on-chain data provider Santiment claiming retail traders are driving calls for higher prices.
“As Bitcoin rallies to $109,800, the crypto crowd has officially moved from FUD to FOMO,” the company said in an X post on Thursday (July 3).
However, crypto market sentiment is currently in the “greed” zone with an index of 73, which typically signals a counter-trend.
Historically, when retail traders show excessive optimism, markets tend to reverse or pause as professional investors take advantage of overbought conditions.
If accompanied by high trading volumes and speculative bets, this greed-driven sentiment could temporarily push prices higher, leading to a pullback.
Crowd calls for higher Bitcoin prices. Source: Santiment
Bitcoin’s relative strength index, or RSI, is approaching overbought conditions on four of the six time frames. This suggests that prices are entering a zone of exhaustion, hinting at a possible pullback in the short term.
Crypto market RSI heat map. Source: CoinGlass
While Bitcoin attempts to break through $110,000, the current frenzy suggests that the market may be “resetting” retail enthusiasm, and a brief pause or consolidation may stabilize the market before continuing the upward trend.
“Price action is inverse to what retail traders are doing, so don’t be surprised by brief pauses in the upside when greed is high,” Santiment wrote.