Bitcoin Sees Modest Gains, But Demand Weakness Limits Breakout Potential
Bitcoin has resumed a gradual upward trend, briefly surpassing $106,000 and currently trading at $105,383, reflecting a 0.8% increase in 24 hours. Analysts observe a balanced market environment with no extreme profit-taking or panic signals. Realized profits over a seven-day moving average remain below $1 billion, indicating no significant investor exits. Demand has weakened since Bitcoin's local high in May, limiting upward momentum and suggesting a temporary equilibrium with both buyers and sellers inactive. Bitcoin has traded within a $100,000 to $110,000 range for nearly a month, with increasing short positions indicating expectations of a downward correction. A breakout above $110,000 or below $100,000 could lead to significant price movements, with the potential for a short squeeze if shorts dominate.
