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Bitcoin Holds 2-Month Range After 100-Day Decline: Price Action Analysis
⬤ Bitcoin entered a consolidation phase after a downtrend that started over three months ago. BTC has now spent approximately two months trading within a defined range—an unusually extended period given recent market dynamics. Chart analysis shows a sharp decline followed by persistent sideways movement.
⬤ The 12-hour BTC/USD chart reveals a pronounced drop from previous highs before price settled into horizontal trading. Selling pressure mounted during the decline, creating lower lows over several weeks. Once that phase ended, Bitcoin started bouncing between clear support and resistance zones, signaling a pause rather than trend continuation.
⬤ Volume patterns confirm this shift. The initial downtrend lasted over 100 days with elevated trading activity, showing strong market participation as prices fell. The current two-month consolidation shows dramatically lower volume, indicating reduced conviction from both buyers and sellers. Price has repeatedly tested the range top while consistently holding support.
⬤ Extended consolidation periods like this often precede major volatility shifts. Bitcoin’s ability to maintain this structure suggests selling pressure has weakened, though strong bullish momentum hasn’t materialized yet. The market remains in a balance phase, making this range critical for determining the next directional breakout.