Bitcoin now enters a crucial moment. It failed to reach the all-time $125,000 record high. The rejection at this level triggered a sharp retrace, leaving bulls defending critical demand zones around $110,000–$112,000. This is the range that may determine if BTC will resume its bullish trend or face deeper consolidation.
Read Related Articles
Analysts are divided. Others highlight buyers’ resilience in absorbing selling pressure while maintaining higher lows. Some warn, however, that if momentum is not regained soon, bears could gain the upper-hand and speed up a correction.
Axel Adler is a leading analyst who has expressed his caution after noting the large sellers that have recently appeared at central exchanges. Adler believes that what is concerning about these sellers’ lack of proper execution strategies, such as TWAPs (Time Weighted Average Prices), could increase volatility and further pressurize short-term pricing.
CEX Netflow overall remains green in spite of these red flags. This indicates that for now, buyers still have the upper hand. Adler cautions that the balance may be shifting. shiftingIf sellers increase their presence in the market, they may be able to outnumber buyers, causing Bitcoin’s price to fall more dramatically.
Bitcoin bulls face a test as focus shifts to Ethereum
Axel Adler says that the current phase of Bitcoin’s cycle highlights how it is changing. dynamics Adler points out that institutional and corporate interests are interrelated. Adler shows that “right now would be the perfect time for Saylor & Co. to step up their buying,” Michael Saylor is a good example of a corporate investor who has historically been supportive of Bitcoin. Adler stresses, however, that corporate attention is clearly shifting to Ethereum. This is where headlines are dominated by the activity of accumulation and leverage.
The Ethereum frenzy, fuelled by institutional and whale inflows as well, is a major factor behind Bitcoin’s stall. ETH has been gaining market share and soaring to new heights while BTC is consolidating, unable to maintain the momentum from earlier this year. For many analysts, this isn’t necessarily bearish—it reflects a rotation of capital within the crypto ecosystem.
Bitcoin, from a technical standpoint, is currently testing the previous ATH level as support. This critical area must be defended by bulls. If this zone is held, it could be a sign that the consolidation process has been healthy and a push upwards will soon follow. Failure here would open the doors to even deeper corrections. This is especially true if capital continues to be poured into ETH at the same pace.
Read Related Articles
Testing Support At A Pivotal Level
Bitcoin’s daily chart shows a price that is under pressure. The Bitcoin market has been unable to maintain momentum over $123K, and it has reverted sharply downward. BTC has now reached a price of $111 829. This is just above the moving average 100 days at $111 567. It is proving to be a critical support in short term. Following last week’s break, the 50 day moving average, $116 544, has now become resistance. This highlights a weakening of bullish structures.
This zone around $111K–$112K is decisive. If the close is confirmed below, it could lead to a deeper decline, possibly targeting the 200 day moving average at around $100,866. This coincides with the psychological level of $100,000. On the upside, bulls must reclaim the $115K–$116K region to regain momentum and set up another attempt at the $123K ATH.
Read Related Articles
As reflected in consecutive lower highs, and the failure to keep demand at $115K or higher, recent price actions show that sellers were recently in control. As long as BTC holds the 100-day MA the overall uptrend will remain intact. This could indicate that this is more of a consolidation than a complete reversal.
Featured picture from Dall E, chart by TradingView
“This article is not financial advice.”
“Always do your own research before making any type of investment.”
“ItsDailyCrypto is not responsible for any activities you perform outside ItsDailyCrypto.”
Source: www.newsbtc.com
