Bitcoin bulls “are hesitant or unable to push prices significantly higher without fresh catalysts or clearer macro signals,” Bitfinex analysts say. – Crypto News

Traders are cautious about buying Bitcoin at its current level, as the cryptocurrency is struggling to find the strength to break above its all-time high of $111,970, according to Bitfinex analysts.

“Bulls are hesitant or unable to push prices significantly higher without fresh catalysts or clearer macro signals,” Bitfinex analysts said in a markets report on Tuesday, adding that Bitcoin (BTC) is showing weaker strength as it hovers below its current all-time highs to move above the level it reached on May 22.

$1.63 billion shorts at risk of liquidation if Bitcoin reclaims ATH

“This signals a lack of follow-through strength,” the analysts added. Bitcoin is trading at $108,560 at the time of publication, up 2.15% over the past seven days, according to CoinMarketCap data.

Although Bitcoin’s all-time high of $111,970 represents just a 3.14% increase from its current level, surpassing this price could trigger the liquidation of $1.63 billion in short positions, according to CoinGlass data.

While BTC quickly rebounded above $100,000 after briefly dipping below that level amid escalating geopolitical tensions in the Middle East on June 22, the rally has since lost steam.

Bitcoin market in a “delicate equilibrium”

Bitfinex analysts described the current market structure as a “delicate equilibrium.” 

They said that profit-taking pressures have eased, but the lack of buying interest signals that traders are still waiting for clear directional confirmation.

They added that Bitcoin has been “locked in a tight consolidation range” between $100,000 and $110,000 since June 23, signaling indecision from market participants.

“The broader trend has stalled,” they said. “The lack of sustained momentum suggests buyers are also hesitant,” they added.

Related: Bitcoin metric says $100K BTC was the bottom: When will a rally to new highs start?

“This combination of waning profit-taking pressure and unresolved breakout momentum reflects a balanced market, waiting for a fresh catalyst to define the next leg of direction,” they said.

Bitcoin social media sentiment soars

Meanwhile, data from blockchain analytics platform Santiment suggests a different story. Santiment data from Tuesday suggests that Bitcoin social media sentiment is the highest in three weeks, and for every bearish comment on Bitcoin, there are now 1.51 bullish comments.

However, Santiment analyst Brian Quinlivan warned that while rising sentiment may seem positive, similar spikes in trader optimism were followed by Bitcoin price drops on both June 11 and July 7.

Yellow chairman Alexis Sirkia told Cointelegraph that the geopolitical tensions and trade escalations seem to be easing, which seems to have made the market sentiment move from fear to neutral-bullish.

“It also feels like Bitcoin and other crypto like Ethereum and XRP are joining the ranks of gold as a hedge on the economic uncertainty, which still persists,” Sirkia said.

Magazine: High conviction that ETH will surge 160%, SOL’s sentiment opportunity: Trade Secrets

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.