Bitcoin’s recent rally appears to have lost steam, with traders now waiting for a clear catalyst to drive the next move.
After weeks of testing resistance levels, the market’s enthusiasm has cooled, leaving prices hovering around $111,000 – just below the critical $117,000 zone that analysts say defines the short-term trend.
On-chain researchers at Glassnode warn that unless new momentum emerges, Bitcoin could retreat toward the lower end of its current range. The firm’s latest data shows rising profit-taking among long-term holders – a pattern often seen before extended cooling phases.
Consolidation, Not Collapse
Market volatility remains high, but not all analysts are reading the pullback as bearish. Shubh Varma, CEO of Hyblock Capital, expects a volatile but contained trading range over the coming weeks, saying that “sideways consolidation is the most probable path after such a deep reset.”
He points out that spot Bitcoin ETFs continue to attract heavy inflows, suggesting investor appetite hasn’t vanished. In fact, U.S.-listed Bitcoin funds recorded nearly $6 billion in inflows during a nine-day streak earlier this month – an encouraging sign given the recent market turbulence.
Monetary Easing on the Horizon
Macro conditions could also play in Bitcoin’s favor. Markets are betting on another Federal Reserve rate cut at the end of October, with odds sitting above 95% according to CME’s FedWatch Tool. Lower borrowing costs typically drive capital toward higher-risk assets, a scenario that has historically benefited crypto markets.
“Structural demand remains strong and liquidity is slowly improving,” said Matt Mena of 21Shares, who sees this setup as “increasingly constructive” heading into year-end. He believes that once the market absorbs recent liquidations, Bitcoin could attempt another climb – potentially eyeing the $150,000 level if institutional inflows accelerate.
Looking Beyond the Dip
Despite the slowdown, optimism for 2025 remains widespread. Arthur Hayes, co-founder of BitMEX, and Unchained research director Joe Burnett both forecast Bitcoin reaching $250,000 within the next 14 months – driven by easing monetary policy and growing integration between crypto and traditional finance.
For now, however, traders are watching closely to see whether Bitcoin can reclaim its momentum or slip into another round of consolidation. With sentiment fragile and catalysts scarce, the next decisive move may depend less on hype – and more on patience.
The information provided in this article is for educational 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/glassnode-warns-bitcoin-needs-new-spark-to-recover-from-latest-crash/