Bitcoin Stalls in Consolidation Zone Amid Improving Macro Conditions
Conditions for risk assets have improved as a result of the recent rate decrease by the Federal Reserve and the alignment of trade between the United States and China. However, whether Bitcoin can confirm a breach above the 100-day MA will determine its next course of action. As an alternative, it might depend on maintaining the 200-day MA as a crucial level of structural support. The market will continue to move in an accumulation and consolidation mode until one side of this equilibrium cracks. Before the next significant impulse move, volatility compression is probably going to happen.
Bitcoin Stays in Balance Between Key Moving Averages
Bitcoin has been bouncing between the 100-day MA at about $114K and the 200-day MA at about $109K on a daily basis. A distinct equilibrium zone has been established by this price movement. The 200-day MA’s many recoveries show that there is still a lot of institutional demand for the $108K–$109K range. Meanwhile, a notable distribution zone is the $114K–$116K range. This arrangement emphasizes how buyers and sellers are currently balanced in the market. The clustered price movement between the two important moving averages suggests that the current stabilization period may be an accumulation pattern.
Bitcoin Near Critical Levels Ahead of Potential Breakout
A breakout toward the $120,000–$122K range would probably be triggered by a confirmed daily closure above the 100-day MA. But a decline below $108K would reveal the $102K–$104K institutional demand zone once more. A positive continuation may be supported by improving macro sentiment brought about by the FOMC‘s dovish policy shift and the framework for U.S.-China collaboration. On-chain and volume metrics verifying accumulation would be necessary for this.
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