Bitcoin (BTC) price faced rejection from crucial resistance levels in the past 24 hours, hindering its attempt to retest its all-time high. The flagship cryptocurrency saw a 2.2 percent decline, trading at around $107,477 on Friday, July 4.
The drop in BTC price can be attributed to the resurgence of Satoshi-era whales, who moved over $8 billion in BTC within a day. This influx of old whales, coupled with low demand, created a bearish sentiment in the market. Additionally, the lack of speculative interest has contributed to the midterm bearish outlook for BTC.
Glassnode reported a decline in exchange volume since early June, with the monthly average dropping to $5.9 billion, slightly above the yearly average of $5.5 billion. This decrease in trading activity has added to the negative sentiment surrounding BTC price.
Looking ahead, BTC price is testing a key resistance level around $109,396 on the weekly timeframe. Despite a bearish divergence forming in the weekly Relative Strength Index (RSI), there is potential for a bullish breakout. The formation of a cup and handle pattern further supports the possibility of a new all-time high in the near future.
On the daily timeframe, BTC price is in a falling trend, marked by lower lows and lower highs. The daily MACD indicator indicates a decline in bullish momentum, suggesting a possible retracement towards the lower boundary of the falling trend, below $101,000.
Overall, while BTC price faces resistance and bearish indicators in the short term, the long-term outlook remains optimistic for a potential breakout towards new highs. Traders and investors should closely monitor key support and resistance levels to gauge the direction of the market in the coming days.