Ground was regained by Bitcoin today, reaching an intraday high of $110,376.88. Although a dip to $107,214.15 was recorded within the past 24 hours, the asset is currently being traded at $109,039.59. A 1.27% increase has been observed in daily performance, indicating a revival in market confidence.
In addition, a surge to $2.16 trillion was recorded in Bitcoin’s market capitalization, while its fully diluted valuation was placed at $2.28 trillion. A 24-hour trading volume of $47.64 billion was observed, resulting in a volume-to-market cap ratio of 2.15%, which underscores active trading and increased liquidity in the market.
Simultaneously, Bitcoin’s circulating supply has been maintained at 19.87 million BTC, approaching the fixed maximum cap of 21 million. This limitation has been cited as a driver of ongoing narratives around long-term scarcity. As prices recover, technical indicators have offered a mixed yet insightful perspective on market conditions.
Could Bitcoin’s Narrow Trading Range Break Trigger a Fresh Rally?
Based on the price chart, support has been identified at $108,571, aligned with the 21-period moving average. If this level is broken by BTC, the subsequent support could be found near $107,200. On the other hand, resistance has been established at $110,422, and if that threshold is surpassed, a rapid retest of the $112,000 zone may be triggered.
Nonetheless, sentiment is being maintained in a cautiously neutral state. A reading of 51.59 has been shown by the 14-day Relative Strength Index (RSI), closely matching its average value of 51.62. Both figures remain positioned near the equilibrium range. Notably, no entry into either overbought or oversold conditions has been detected by the RSI, suggesting that extreme market sentiment is currently absent.
The 9-period and 21-period moving averages have been observed to converge near $108,816 and $108,571, respectively. This narrow gap is indicative of market consolidation, while also signaling the potential for an imminent directional shift. A bullish crossover may result in renewed upward momentum. Conversely, if the shorter-term average declines beneath the longer-term one, an increase in short-term selling pressure could be triggered.
Overall, short-term strength is being demonstrated by Bitcoin, supported by limited supply and robust trading volume. However, signals such as a neutral Relative Strength Index (RSI), a flat Chaikin Money Flow (CMF), and converging moving averages advise prudence. A breakout above $110,422 could potentially revive bullish momentum, while a decline below $108,571 might lead to a sharper move downward toward the $107,200 level.
