As Bitcoin (BTC) welcomes the month of October with a grand celebration, having secured a new all-time high, traders are now bracing for potential price stabilization before attempting to breach the critical resistance level of $150,000. Following its recent peak, Bitcoin is currently trading in a tight range, with analysts predicting a period of consolidation.
After hitting a record high over the weekend, data from Cointelegraph Markets Pro and TradingView shows that Bitcoin is stabilizing around the $124,000 mark. The price action indicates a desire for a support retest, with important levels to watch set at $118,000 and above. This cautious outlook suggests that traders may need to exercise patience as the market sorts itself out.
Popular trader Daan Crypto Trades remarked on the recent futures trading activity, noting that a “gap” created during the weekend has already been filled. He characterized this movement as a classic “squeeze and retrace,” implying that traders should be prepared for potential fluctuations. Crypto analysts, including Ted Pillows, have also highlighted $123,000 as a pivotal resistance level, with institutional buying being crucial for any sustained upward movement.
Michaël van de Poppe, another recognized trader and analyst, emphasized that a significant surge beyond previous highs isn’t expected to happen overnight. He foresees Bitcoin needing a consolidation phase before targeting the $150,000 milestone. His analysis urges traders to look for entries below $121,500 as ideal opportunities for long positions.
Market sentiment in the crypto space remains cautiously optimistic. While reaching new highs, Bitcoin has just managed to avoid entering “extreme greed” territory, which could be indicative of underlying bullish trends while also hinting at the need for a retracement. Current technical analysis suggests that Bitcoin could face a dip of up to 4% in the near term, aligning with market psychology that dictates no bull run progresses in a straight trajectory.
Continuing with this theme, CrypNuevo, a prominent trader, anticipates that a retest of the 50-period exponential moving average (EMA) — currently at $119,250 — may occur in the coming week. This indicator has historically shown relevance during similar price actions, suggesting that a potential correction could set the stage for a new upward momentum.
Rekt Capital has chimed in with a reminder that the market needs to establish solid support levels before pushing into unfamiliar price territories. He noted that Bitcoin’s rejection from the $124,000 mark is a familiar pattern, recalling a previous instance where such a dip resulted in a substantial pullback. This highlights the market’s cautious demand for consolidation prior to stepping decisively into new peaks.
As October unfolds, traders and investors alike will be watching Bitcoin closely for any signs of both upward and downward movement. With a mix of optimism for higher price targets and the need for retracement, the narrative around Bitcoin will continue to evolve, reflecting the broader sentiment of the cryptocurrency market amid ongoing macroeconomic cues.
