Bitcoin (BTC) is showing resilience this week, holding above key support levels despite failing to break through resistance at $109,000. On-chain data signals an improving investor confidence, even as technical resistance levels challenge bullish momentum.
On-Chain Data Signals Strength
According to Glassnode, Bitcoin price dips have remained shallow, with BTC holding above the one-month realized price of $105,100.
All short-term holder cohorts, who bought Bitcoin within the past six months, remain in profit, with realized prices at $105,600, $106,300, $101,200, and $98,100, respectively.
Sponsored
This suggests that recent price pullbacks have not triggered panic selling. Investor sentiment appears steady, and short-term market momentum is improving, even amid broader uncertainty.
$108.6K Sell Wall in Focus
However, while on-chain data shows improving sentiment, market structure still faces resistance.
CoinGlass’s latest Bitcoin orderbook heatmap shows a dense cluster of sell orders at $108,600, forming a strong sell wall that could limit upward movement.
According to CoinGlass data, there is $65.6 million worth of leveraged positions at risk of liquidation around the $108,600 Bitcoin price level. If Bitcoin’s price dips below this point, a significant number of leveraged traders could be forced to close their positions, potentially increasing market volatility.
Whether bulls can absorb this supply remains a key question. The outcome of this standoff at $108,600 is likely to influence Bitcoin’s short-term price direction.
BTC Price Action and Technical Outlook
The Bitcoin price pulled back to $105,250 after two failed attempts to break $109,000 earlier this week, signaling a possible consolidation or a local top.
Technically, Bitcoin is trading between a downtrend line and key moving averages. If support at $104,500 breaks, the next stop could be the psychological level of $100,000.
Conversely, a breakout above the 20-day EMA could trigger a rally toward the downtrend line, and potentially to the all-time high of $111,980.
Why This Matters
With buyers and sellers locked in a key technical battle, the next few sessions will be critical in determining Bitcoin’s short-term trend.
Explore DailyCoin’s trending crypto news:
Bybit Expands to Europe with Fully MiCAR-Compliant Exchange
XRP, SOL, LTC Lead Crypto ETF Charge At 95% Odds
People Also Ask:
Short-term holders are investors who have purchased Bitcoin within the last six months. If they remain in profit, it signals strong market sentiment and less selling pressure.
Realized price is the average price at which BTC was last moved. Staying above this level suggests holders are in profit and less likely to sell.
A decisive move above the 20-day EMA and the downtrend line could signal bullish momentum and potentially retest all-time highs.
