Bitcoin has spent the last four weeks moving sideways after a sharp decline from 126,000 to 80,000 and since then price action has failed to show any real direction This extended consolidation phase is creating frustration for traders but at the same time it is building pressure for a significant move The big question now is whether Bitcoin is preparing for a breakout this week or if more sideways movement is still ahead
Looking at the weekly chart the bigger picture remains unchanged Bitcoin is still trading within a broader downtrend The bullish market structure broke when price failed to hold above the 98,000 to 100,000 region and as long as Bitcoin remains below this zone the overall trend cannot be considered bullish Any short term bounce inside this structure should be viewed with caution until that key level is reclaimed and held
On the weekly timeframe Bitcoin is clearly stuck inside a defined range with the lower boundary near 85,000 and the upper boundary around 93,000 Price has respected these levels multiple times which confirms strong support and resistance A meaningful directional move will likely only occur once Bitcoin manages to close and sustain either above 93,000 or below 85,000 Until that happens the market remains in balance
The daily chart offers no additional clarity Price has not been able to secure a close above the range high nor has it broken down below the range low This lack of commitment from both buyers and sellers means there is currently no high probability directional setup Traders attempting to trade inside this range are essentially relying on short term reactions rather than trend confirmation For most participants patience remains the best strategy
One technical structure that deserves attention is the ascending triangle forming on the lower timeframes Bitcoin has been printing higher lows while repeatedly testing the same resistance zone near 93,000 This pattern indicates tightening price action and shrinking volatility which often precedes an expansion move The triangle is approaching its final stages leaving very little room for continued sideways action
The 87,500 region is particularly important as it aligns with the rising trendline supporting the higher lows A recent downside fakeout briefly pushed price lower but failed to break the structure That low is now a critical level to watch If Bitcoin continues to hold above it the bullish case remains valid However a clean break below that level would weaken the structure and increase the probability of a deeper move toward the range low
For now nothing has officially changed Bitcoin remains in a waiting phase where compression continues to build The breakout when it comes is likely to be sharp and decisive Traders should avoid predicting the direction and instead wait for confirmation The market will clearly show its hand once price commits beyond the current range boundaries The only thing that is certain is that this period of low volatility will not last forever
ChatGPT can make mistakes. Check important info.
#bitcoin #BTC #BitcoinBreakout #CryptoMarket #BTCUSDT
