Key takeaways:
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Bitcoin value faucets $110,000, however low spot shopping for demand suggests the upside may very well be restricted.
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Excessive retail FOMO and a near-overbought RSI sign a possible BTC value correction.
Bitcoin (BTC) value has shaped a sequence of decrease highs and decrease lows within the 1-hour time-frame since reaching a three-week excessive of $110,300 on July 2.
As the top of the week approaches, BTC value has failed to interrupt above the all-time excessive at $112,000.
What’s holding Bitcoin value under $112,000?
Bitcoin’s value has rallied 5% over the past 48 hours, reaching an intraday excessive of $110,392 on July 3, per information from Cointelegraph Markets Professional and TradingView.
Regardless of this efficiency, the flexibility to push above the all-time highs at $112,000 is at present restricted because of the absence of consumers.
Bitcoin’s spot quantity delta metric, an indicator that measures the web distinction between shopping for and promoting commerce volumes, reveals that web spot shopping for on exchanges stays adverse whilst BTC value makes an attempt to interrupt out.
Associated: Bitcoin might faucet $116K in July amid ‘excellent storm’ of macro catalysts
This implies an absence of momentum, doubtlessly resulting in a pullback or consolidation if derivative-driven pumps dominate with out spot market assist.
“BTC is breaking out, however the place’s the spot demand?” says market information useful resource Swissblock Applied sciences in its newest publish on X, including:
“With out actual demand, breakouts run on fumes. We’d like consumers to maintain the worth breakout.”
Wanting forward, K33 Analysis factors out that spot volumes are usually far decrease from June via October in comparison with the rest of the yr, with July traditionally being one of many quietest months, accounting for less than 6.1% of the annual quantity. This might cease BTC’s try to hit contemporary report highs over the following few weeks.
K33 Analysis wrote:
“Though July 2025 brings potential catalysts, together with Trump’s price range invoice, tariff choices, and a crypto govt order deadline, seasonal patterns recommend markets might proceed drifting in low-volume and low-volatility doldrums regardless of the busy information backdrop.”
As Cointelegraph reported, Bitcoin value wants contemporary demand from spot consumers to interrupt out of the present vary into value discovery.
BTC value may see a “transient rally halt”
Bitcoin’s surge to $110,000 has sparked intense FOMO, with retail merchants fueling requires even greater costs, based on onchain information supplier Santiment.
“Crypto crowd has formally flipped from FUD to FOMO following Bitcoin’s rise to $109.8K,” the agency mentioned in a July 3 publish on X.
Nonetheless, crypto market sentiment, at present in “greed” territory at 73, usually indicators a contrarian transfer.
Traditionally, when retail merchants exhibit extreme optimism, markets are inclined to reverse or pause as professional traders capitalize on overbought circumstances.
If accompanied by excessive buying and selling volumes and speculative bets, this greed-driven sentiment can inflate costs briefly, leading to a pullback.
Bitcoin’s relative power index, or RSI, shows close to overbought circumstances in 4 out of six timeframes. This implies that the worth is getting into the exhaustion zone, hinting at a possible correction within the shorter time period.
Whereas Bitcoin makes an attempt to interrupt $110,000, the present euphoria suggests a quick halt or consolidation is probably going because the market “resets” retail exuberance, doubtlessly stabilizing earlier than resuming the uptrend.
Santiment wrote:
“Costs transfer reverse to retail merchants’ conduct, so don’t be stunned by a quick rally halt whereas greed is excessive.”
This text doesn’t include funding recommendation or suggestions. Each funding and buying and selling transfer includes danger, and readers ought to conduct their very own analysis when making a call.
