Bitcoin has resumed a slow climb upward after a recent period of consolidation, with the currency trading at $105,383, a 0.8% increase from its previous trading day. traders have been trying to navigate this volatile market, as the price has not yet seen a significant drop or rise, despite signs of a cautious balance in the market structure. Several analysts are focusing on key indicators to gauge the potential for a further upward trend.
On-chain data suggests that the market is in equilibrium, with neither extreme bearish or bullish signals being clearly visible. According to Darkfost, realized profits over a seven-day moving average remain below $1 billion during a market correction in late 2024, a pattern that is notably lower than the peaks seen earlier in early 2025. This comparison supports the idea that the current market sentiment remains cautious, indicating continued consolidation.
This equilibrium is being supported by the fact that demand for Bitcoin has not waned, as evidenced by a recent decrease in demand within a $100k-$110k price range. analyze further revealed that while demand remains positive, it has been weakening since Bitcoin reached its local high in May 2024. Darkfost points to this weakness in demand as limiting further upward momentum, suggesting that the price remains poised for a retest at the previous resistance level.
Traders and analysts are preparing for turbulence as they wait for a potential breakout, particularly at the $110k mark. BorisVest, a CryptoQuant analyst, supports this view, noting that within a narrow band, both long and short positions are building up. However, BorisVest also cautions against overreliance on short-term data, as short positions are currently increasing, and shorts could signal a cautioned jump.
The $100k-$110k price range is the most volatile battleground in the mid-price spectrum, as both buyers and sellers are equally inactive. Traders are closely observing the extremes of this zone, with any breakout could set the stage for a larger movement. BorisVest also points to short squeeze risks, which have become more likely in recent trends. The funding rate indicators further support this, as long and short bets remain fairly balanced.
Binance’s chart highlights how demand remains positive but the fact that short positions are increasing could signal a stronger pull in the market. The overall trend within the $100k-$110k range is characterized by traders focusing on the extremes, particularly at the $110k mark, but as the market does not have clear signals ofTABLLOWLW for adraulic Pricing movement could be happening.
