Bitcoin is currently trading between $65,000 and $69,500 after two weeks of bullish price action, sparking renewed optimism among analysts and investors. There is a belief that BTC is on the verge of hitting novel all-time highs in the coming weeks, which builds confidence that March predictions of cycle highs may have been premature.

CryptoQuant’s key indicators show that Bitcoin is still far from typical cycle top conditions, instead signaling a bullish outlook in November. As the November 5 U.S. election approaches and macroeconomic factors continue to shift, price action is expected to remain unpredictable and volatile.

Market participants are watching closely, anticipating that geopolitical and economic events could impact BTC’s trajectory. Given this context, many believe that the next major move for Bitcoin could catalyze novel growth, potentially breaking past previous highs.

Bitcoin tranquil before the storm?

Bitcoin remains above $67,000, showing resilience in the face of a potential break above $70,000. However, current price action indicates that Bitcoin may consolidate below this key level before reaching novel highs in the next stage. Market participants are closely watching BTC’s performance around these price levels, as a sustained rally above $70,000 could set the stage for significant gains.

CryptoQuant analyst Axel Adler recently shared critical observations about Xhighlighting the current long-term holder (LTH) to short-term holder (STH) SOPR ratio of 1.8. This indicator is often used to measure selling pressure and market sentiment, with higher levels indicating increased profit taking, which may signal a market top.

According to Adler, when this ratio increases to around 7, Bitcoin will be close to the culmination of the cycle. This indicator’s bullish cross with the 90-day moving average reflects a positive outlook, supporting the narrative that BTC remains well below the cycle high.

The movement of this indicator and broader market strength paint a favorable picture for Bitcoin’s price action in the coming weeks. The data suggests that Bitcoin still has room to grow this cycle, providing certainty for long-term holders and investors looking for further gains.

BTC technical levels

Bitcoin is trading at $67,500, facing challenges after failing to maintain a bullish structure on the 4-hour chart. The price couldn’t make a novel high above $69,500, signifying a potential change in momentum. The key support level is currently at $65,000, a local low that previously kept the uptrend intact. Maintaining above this level is imperative to prevent a broader pullback and maintain bulls’ confidence.

Currently, the price action remains indecisive, leaving the direction for the coming days unclear. A break above $69,500 would restore the bullish structure, likely drawing more buyers into the market and signaling another attempted rally. Conversely, a break below the $65,000 support would signal a rebound, potentially leading BTC into lower demand zones as bulls look to regroup.

The current phase of consolidation highlights the importance of these levels in determining Bitcoin’s near-term trajectory. With both bulls and bears fighting for control, BTC’s ability to stay above $65,000 will be crucial to maintaining bullish sentiment.

Featured image from Dall-E, chart from TradingView