Bitcoin is hovering around $113,000 after a week marked by volatility and growing caution among traders.
Despite a modest 1.59% uptick in market cap to $2.24 trillion, analysts are signaling that the cryptocurrency may be entering a period of sustained weakness.
Key Support Levels Highlighted
Glassnode data highlights critical support levels at $104,520, $97,050, and $59,720, suggesting that a deeper correction could follow if Bitcoin fails to hold above $110,000. Market strategist Ali noted these levels as key points to watch, reflecting clusters of realized price distributions where buyers historically stepped in.
On-Chain Metrics Point to Caution
The latest “Supply in Profit” data indicates a decline in the number of coins held at a profit, a signal that has previously coincided with the start of downtrend phases. This shift raises concerns that Bitcoin could be transitioning into a bearish cycle after its strong rally earlier this year.
Technical Indicators Show Mixed Signals
From a technical standpoint, indicators remain divided. The Relative Strength Index (RSI) is hovering near 66, suggesting momentum but also warning of near-term overbought conditions. Meanwhile, the MACD has shown repeated fluctuations around the neutral line, underlining the uncertainty in market direction.
Traders Watching $110K–$115K Zone Closely
Bitcoin has dropped 0.43% over the past seven days, a relatively mild pullback, but its inability to retake the $115,000 level has tempered bullish sentiment. Traders are now closely monitoring whether institutional inflows can provide fresh support, or if a break below $110,000 could trigger steeper losses.
What’s Next for Bitcoin?
With support zones clearly mapped and profit-taking signals flashing, the coming days may prove decisive for Bitcoin’s short-term trajectory. A failure to hold key levels could open the door to a slide toward the mid-$90,000 range, while a bounce above $115,000 might restore confidence in the ongoing bull cycle.
The information provided in this article is for informational purposes only and does not constitute financial, investment, or trading advice. Coindoo.com does not endorse or recommend any specific investment strategy or cryptocurrency. Always conduct your own research and consult with a licensed financial advisor before making any investment decisions.
Alex is an experienced financial journalist and cryptocurrency enthusiast. With over 8 years of experience covering the crypto, blockchain, and fintech industries, he is well-versed in the complex and ever-evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His approach allows him to break down complex ideas into accessible and in-depth content. Follow his publications to stay up to date with the most important trends and topics.
Source: https://coindoo.com/market/major-bitcoin-warning-btcs-bull-run-could-be-nearing-its-end/