Bitcoin is currently trading at $104,514, supported by a market capitalization of $2.07 trillion and a 24-hour trading volume of $26.48 billion. Its intraday price has fluctuated within a tight band between $103,133 and $104,841, signaling a period of short-term consolidation following a recent bullish rally.
Bitcoin Price Watch: Bullish Trend Remains Intact Amid Volume Divergence
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The hourly chart reveals that bitcoin has entered a choppy sideways range after peaking at $104,985. A sharp rejection from this level was followed by a bounce off the $103,000 support line, indicating active short-term demand. Despite this, the declining volume on red candles after the breakout suggests a weakening bullish momentum. Entry points appear viable on a confirmed breakout above $104,800, while a breach below $103,000 amid rising sell volume would be a strong exit signal. Traders should be cautious, as volume divergence is present, a notable bearish indicator.
Zooming into the four-hour chart, bitcoin exhibits a plateau pattern after an aggressive upward movement. A noticeable volume spike at the peak near $104,985 was followed by a tapering in trade activity, which suggests distribution rather than accumulation. Lower highs have been forming since the peak, hinting at emerging short-term bearish sentiment. The $102,500 area is worth watching for a potential bounce, especially if supported by increased volume. Reclaiming $104,500 with strong follow-through would be required to reestablish a bullish stance.
On the daily chart, bitcoin maintains a strong uptrend characterized by higher highs and higher lows. Support is established near the $95,000 range, which acted as a prior consolidation zone, while resistance is currently positioned around $104,985. However, volume has been declining on recent green candles, pointing to possible buying fatigue. A strategic entry may present itself in the $98,000 to $100,000 range if reversal confirmation emerges, such as a long wick or bullish engulfing candlestick. If volume continues to trail, any test near the $105,000 mark could fail to hold.
Oscillator readings offer a mixed technical sentiment. The relative strength index ( RSI) stands at 75 and the commodity channel index (CCI) at 184, both issuing sell signals due to overbought conditions. Momentum is similarly bearish with a value of 7,919. However, the moving average convergence divergence ( MACD) provides a positive signal with a positive divergence of 4,110. Meanwhile, the Stochastic oscillator at 94, the average directional index (ADX) at 36, and the awesome oscillator all show neutral stances, reflecting market indecision.
From a moving averages perspective, bitcoin remains firmly bullish across all timeframes. The 10-, 20-, 30-, 50-, 100-, and 200-period exponential moving averages (EMA) and simple moving averages (SMA) all indicate bullish signals, underscoring long-term upward strength. These averages suggest strong underlying trend support, even amid short-term pullbacks. However, given the current divergence between price action and volume, traders are advised to prioritize confirmation signals before entering new positions. Chasing prices near all-time highs without volume support exposes traders to potential downside volatility.
Bull Verdict:
Bitcoin remains structurally strong with consistent buy signals across all key moving averages, supported by a robust uptrend on the daily chart. If the price breaks above $104,800 with confirmed volume, the bullish continuation toward new highs remains intact.
Bear Verdict:
Overbought oscillator conditions and declining volume amid rising prices suggest potential exhaustion. A failure to hold the $103,000 support could trigger a deeper retracement toward the $98,000–$100,000 range.
