For now, if you want to clearly show what a man’s land looks like, you can put the price list aside a bit to focus on Bitcoin’s momentum. Bitcoin is currently unconvinced by simply cheating. In reality, neither the Bulls nor the Bears want to lead the next leg of this market, or they aren’t.
The price has momentum, and the momentum profile is painfully obvious. There is no strength. The RSI indicator is in the dead zone. In other words, there is no directional bias in the decline in people in their 50s. For traders who are expecting a quick recovery of $110,000 or a clear breakout to a new high, that lack of energy should be a warning sign. Attempts at the upside continue to be capped by a downward resistance line from the previous swing top. This was about $112,000 anyway.
Any attempt to reach that level is quickly rejected and filled with exhausted purchases. Bitcoin prices, meanwhile, do not hold the group of moving averages (20, 50, and 100 EMA) about $105,000 above. If the Bulls don’t inject new purchases immediately, there’s a much more chance of a more serious fix.
With the 100 EMA poised to serve as the final line of defense, the first support zone we keep an eye on is around $100,600. The next important area of interest below is $94,800. Price returns to this level will put the entire bullish structure, which has been at risk since the recovery rally in April.
To ensure Bitcoin doesn’t lose $100,000, the chart requires a new conviction in addition to sideways indecisiveness. The downward resistance will be destroyed by a massive, clear push of over $112,000, which will pave the way for a true trend to continue. This market is moving sideways without strength or urgency, increasing the risk of potentially lowest resistance. Until it comes, this is not human land.
