- Bitcoin has held above the 150-week weighted moving average for several weeks, a level tied to past cycle shifts.
- Weekly momentum indicators point to cooling strength, not a full trend breakdown yet.
- The market now sits at a decisive zone that could define Bitcoin’s direction into the next phase.
There has been a bit of interest regarding Bitcoin’s weekly charts after Trader Tardigrade illustrated how Bitcoin has maintained a healthy position well above the 150-week weighted moving average for a few weeks now. Historically, this moving average has marked a significant point within past cycles for Bitcoin.
In deep bear markets, Bitcoin has maintained a position beneath it for extended periods of time, often displaying failures with recurring regularity. When it eventually moved past it, long accumulation phases and robust price increases began to follow.
Source: X
Within this cycle, it can be noted that Bitcoin is still trading above its rising 150-week moving average despite having had a strong pullback from its historical highs.
The positive trend within this move indicates that more investors have been purchasing, sensing good value in the prices. It can also be noted that instead of plummeting strongly below this average, there has been a strong move back to it.
Also Read: Bitcoin Holds $88K Support as Whales Accumulate $221M Worth of BTC
Bitcoin Enters Cooling Phase After $100K Rejection
Even as the larger picture continues the same pattern, the shorter-term indicators reflect greater prudence. Bitcoin’s weekly chart indicates that the strong pace is slowing and turning into a flat pattern, as the current price is in the mid to high $80,000 area.
After breaking through $100,000 briefly, BTC fails to sustain its performance in the vicinity above the upper Bollinger Band and does indeed reverse.
Current price action indicates that it’s being repelled by the upper edge of the band and drifting towards the median area of the Bollinger Band range.
Source: Tradingview
This cautious tone can be understood further using the Ichimoku chart. Bitcoin was seen below the Tenkan-sen and Kijun-sen and thus was weak on the short and medium term. Currently, the price is testing the cloud.
This is the point in the cloud when the market typically holds or further declines. With the thick cloud in front of it, the resistance area around the lower $90,000 or $100,000 level remains strong.
Momentum Remains Defensive at Key Zone
The momentum indicators are still suggesting a defensive posture. The weekly RSI is in the high 30s, which reflects a lack of strong bullish momentum at this stage in the cycle. This region can support a short-term rally, but there is not yet a strong bullish divergence.
Source: Tradingview
The MACD is in agreement, reflecting a strongly negative line with increasingly negative histogram bars, which can be seen in extended periods of consolidation on a higher time frame.
Also Read: Bitcoin Price Near Breakout as BTC Targets $90,000–$92,000 After CME Gap Closure
