Bitcoin Price Analysis: What to Expect Next After Trailing One-Month Lows
Bitcoin has started a new week on a somber note, with the cryptocurrency trailing one-month lows after failing to break through the $70,000 resistance multiple times. As traders and analysts speculate on what the future holds for Bitcoin, the market remains in a stubborn trading range, leaving many to wonder if bulls or bears will take control.
Last week, Bitcoin faced pressure from United States macroeconomic data and Federal Reserve commentary, causing the largest cryptocurrency to drop nearly 5% and briefly dip below $65,000. With fewer macro triggers expected this week, the focus will be on U.S. jobless claims and the mixed signals on inflation, which could impact risk assets like Bitcoin.
Meanwhile, Bitcoin miners are adjusting to the post-halving reality, with mining difficulty set to drop by around 1.3% this week. The network fundamentals are cooling, and a “capitulation” phase is playing out among miners as they navigate the new economic landscape.
Despite the recent price dip, some traders remain optimistic about Bitcoin’s future. While the cryptocurrency continues to trade in a narrow corridor, there are signs of bullish divergence and support at key levels like $66,000. Analysts are closely watching the jobless claims data and Fed policy expectations to gauge the market sentiment.
Additionally, Bitcoin wallet numbers are on the rise, with wallets holding 10 BTC or more reaching the highest level since June 2022. This accumulation trend, along with the behavior of Bitcoin ETF coins, suggests that whales and long-term holders are providing strong support for the cryptocurrency.
As Bitcoin navigates the current market conditions, traders and investors are advised to conduct their own research and exercise caution when making investment decisions. The cryptocurrency market remains volatile, and unexpected events could impact prices in the coming days.
