Bitcoin price has struggled to break free from an important area of resistance while AI-related cryptos have gained momentum in the overall crypto market in anticipation of the weekend.
Traders have been focused on the potential of a volatility breakout since the Bitcoin price has historically been consolidating within a tight range, and specific altcoins have seen very strong performance over the last several days. At press time, Bitcoin price was trading at $76,753 with a 1.11% decrease over the past 24 hours.
Bitcoin Price Faces Resistance Below Key Moving Average
According to the TradingView chart, Bitcoin price currently holds under its 200-Day Moving Average ($80,822). By definition, this averages the price of Bitcoin based on its historical price from the last two hundred days of trading. Support on BTC currently stands near $76,400.
As you can see in this range, between $79,000 to $81,000, there have been a lot of price swings either way during each day of trading over the last several weeks. Since the price swings at any given time are only limited compared to previous rallies, this also points to lower volatility from traders at this time and weaker directional momentum.
The decrease in volatility means that traders are waiting for a strong breakout before increasing their trading activity.
Also Read: Mark Cuban Sells Majority Bitcoin Holdings After Hedge Doubts Emerge
Bitcoin Price Stays Range-Bound as AI Tokens Gain Momentum
One of the recent top performers is NEAR Protocol, which broke through the important $1.60 resistance level in recent days and hit a high of close to $2.18.
On TradingView, the NEAR indicators showed strong bullish momentum, with the RSI climbing above 83, which indicates rapidly increasing buying pressure along with increasing speculative interest in AI coins and tokens, all adding to the continued momentum of this rally.
The overall structure of the market shows a fairly cautious attitude in the derivatives markets and an influx of new money supporting selected altcoins, while the Bitcoin price remains in the $76,000 region and is not reclaiming higher resistance levels. A successful move above key resistance levels could create stronger upside momentum for BTC.
This article contains market analysis and price predictions. These are not guarantees. Crypto markets are volatile. Always DYOR. Not financial advice.
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