Bitcoin Finds Crucial Support On Bull Market Band — Will Momentum Hold

7 hours ago

Bitcoin terms is presently astatine a captious juncture, sitting close connected apical of the Bull Market Support Band. Throughout past bull cycles, this set has historically served arsenic a important enactment level, with terms retesting it during corrections and bouncing disconnected it to proceed its upward trend.

Why This Level Matters For Bitcoin Uptrend

In an X post, full-time crypto trader and investor, Daan Crypto Trades, has pointed retired that Bitcoin is presently sitting straight connected apical of the Bull Market Support Band. This level has agelong been regarded arsenic 1 of the astir reliable high-timeframe momentum indicators.

Daan Crypto Trades noted that portion Bitcoin has seen short-term consolidation astatine oregon adjacent somewhat beneath this band, it has ne'er experienced a prolonged detachment for much than a week oregon 2 during a bull market.

The broader marketplace structure remains intact arsenic agelong arsenic Bitcoin continues to people higher highs and higher lows connected the larger timeframe. However, immoderate consequent dips that hap portion this structural integrity is maintained are mostly seen arsenic areas of involvement and imaginable buying opportunities for investors.

The Role Of Liquidity In Driving Bitcoin’s Next Move

Bitcoin is showing the archetypal bearish divergence against the Global M2 Money supply since the rhythm lows began, and signaling a imaginable slowdown successful momentum. According to Saint Pump, a marketplace expert, a one-month liquidity pullback is expected successful precocious September, coinciding with the Federal Reserve (Fed) anticipated complaint chopped amid occupation weakness.

This confluence of a bearish method awesome and a macroeconomic liquidity lawsuit suggests that BTC’s caller mediocre terms enactment since July and divergence with planetary liquidity volition proceed starring to a play of choppy terms action. In addition, determination volition beryllium volatile trading until planetary liquidity conditions amended successful precocious October. Adding to the short-term pressure, October besides marks the expected extremity of the four-year cycle, which historically brings further selling activity.

Despite these headwinds, nary large rhythm apical oregon euphoria signals are evident. Saint Pump noted that the Trump Administration whitethorn unleash a monetary bazooka done a Fed takeover to stimulate the system up of the midterms. As a result, this rhythm could widen into precocious 2026, until Inflation fears resurface erstwhile the Fed overdoes it owed to governmental pressures.

From a method perspective, the champion bid script successful a sell-off lies betwixt $93,000 and $98,000, aligning with a retest of the play 55 Exponential Moving Average (EMA), which has sustained the bull inclination since past year. While short-term volatility is expected, the broader uptrend remains structurally sound.