Bitcoin is entering its ‘most frustrating phase’, says CryptoQuant: a look at what’s coming

Featured in:
abcd

Bitcoin (BTC) is currently trading in a price range of $60,000 to $73,000, entering what analytics platform CryptoQuant describes as “the most frustrating phase of the cycle.”

According to a recent analysis by CryptoQuant contributor MorenoDV, Bitcoin is in a period of heightened uncertainty, with market signals showing more hesitation than firm conviction.

sadasda

Bear market signals

Three key on-chain indicators indicate a psychologically challenging phase for market participants, most notably Apparent Demand, the CryptoQuant Bull Cycle Indicator, and the Long-Term SOPR Indicator.

Following the recent sell-off, apparent demand initially showed signs of recovery, suggesting that opportunistic buyers were moving in to take advantage of the recent price decline. However, this raise was short-lived and quickly returned to negative territory.

Moreno too he emphasized the lack of sustained buying pressure in the Bitcoin market, which he believes shows that market participants are still cautious and hesitant to aggressively accumulate BTC at current prices.

The CryptoQuant Bull Market Cycle Indicator, as seen in the chart below, further reinforces this sentiment as it is currently signaling a phase typically associated with bear market consolidation.

Moreover, the analyst noted that the behavioral dynamics involved could impact the cost bases of different market cohorts. He argues that as short-term holders experience losses or shift to long-term holders, realized Bitcoin prices could decline.

Finally, the SOPR for Long-Term Holders is starting to show that even seasoned investors are beginning to realize losses as they move below the key threshold of 1. Historically, this phenomenon has tended to emerge in the later stages of a bear market, when prolonged uncertainty undermines even the most staunch beliefs about an asset’s value.

Bitcoin Eyes Resistance Level $72,000-$73,000

In the context of geopolitical events, Bitcoin has shown resilience, outperforming gold and classic stocks during the recent US-Israeli attack on Iran.

Cryptocurrency stocks have also benefited given the ability to trade them at any time, unhindered by banking schedules. Gabe Selby, head of research at CF Benchmarks, he said Fortune:

Crypto’s 24/7 structure is increasingly becoming an advantage in this asset class. As the conflict in Iran escalated over the weekend, cryptocurrency markets were the only place open to global risk trading, a structural advantage that classic markets cannot replicate.

Additionally, Bitcoin saw a positive gain of around 4% following President Trump’s comments suggesting that the war may be coming to an end. Trump said: “I think the war is basically over,” adding that Iran had “nothing left in a military sense.”

While trying to consolidate near $70,000 at the time of writing, Bitcoin is also trying to break through its recent local high at the $72,000-73,000 resistance zone that was unsuccessfully tested last week.

Bitcoin

Selby emphasized that a sustained close above this threshold on significant volume could change the narrative from a mere brief squeeze to a real revival in momentum.

Featured image from OpenArt, chart from TradingView.com

abcd
sadasda

Find us on

Latest articles

Related articles

See more articles

AI agent payment volume lower than reported, but adoption...

Payment transaction volume among AI agents is more than 90% lower than reports suggest, but crypto giants...

$2,050 Axis: Ethereum Scarcity Index Turns Positive as Binance...

Ethereum is trading slightly above the $2,000 level as the market continues to navigate a period of...

SEC, CFTC sign memo to regulate cryptocurrencies, other markets...

Two of the most influential U.S. regulators have agreed to better coordinate supervision of financial markets in...

The XRP Slingshot setup is developing as the market...

My name is Godspower Owie, I was born and raised in Edo State, Nigeria. I grew up...

Ripple will buy back shares worth $750 million by...

Despite the price drop of XRP over the past year, Ripple is expected to achieve a valuation...

Institutions are withdrawing from XRP after a month of...

After this event, institutional investors begin to withdraw capital from XRP a month of steady inflowswhich raises...