{"id":28381,"date":"2025-05-24T00:16:32","date_gmt":"2025-05-24T00:16:32","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=28381"},"modified":"2025-05-24T00:16:32","modified_gmt":"2025-05-24T00:16:32","slug":"bitcoin-price-momentum-drops-38-after-ath-healthy-pause-or-warning-sign","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=28381","title":{"rendered":"Bitcoin Price Momentum Drops 38% After ATH \u2013 Healthy Pause Or Warning Sign?"},"content":{"rendered":"
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Bitcoin is holding strong above the $110,000 level after breaking its previous all-time high on Wednesday, signaling the potential start of a massive bullish phase. The breakout marks a significant psychological and technical milestone, reigniting optimism across the crypto market. With bulls firmly in control, analysts are closely watching price action as BTC enters uncharted territory.<\/p>\n

However, despite the excitement, the rally is showing early signs of cooling. According to on-chain data from CryptoQuant, current momentum has slowed by 38% following the breakout, an expected technical cooldown after reaching new highs. Historically, Bitcoin often consolidates or retraces shortly after breaching all-time high levels, allowing the market to reset before continuing its upward trend.<\/p>\n

Still, the slowdown isn\u2019t necessarily a bearish signal. It may reflect healthy market behavior, giving participants time to reposition and reinforcing the foundation for a sustained move higher. As long as BTC holds above key support levels near $105K, analysts remain confident in the broader bullish structure<\/a>. Whether this consolidation leads to an impulsive rally toward $120K or a short-term retrace remains to be seen, but one thing is clear: Bitcoin is back in price discovery mode, and the next move could be decisive.<\/p>\n

Bitcoin Faces Crucial Test Amid Recession Fears<\/h2>\n

Bitcoin is entering a pivotal phase as it trades above the $110K level, facing both macroeconomic headwinds and growing investor optimism. While fears of an impending recession and tighter financial conditions continue to dominate headlines, Bitcoin\u2019s price action tells a different story\u2014one of strength and resilience. In fact, BTC has steadily climbed higher despite rising bond yields, weakening equity markets, and widespread uncertainty, highlighting its evolving role as a hedge against traditional market instability.<\/p>\n

However, for this bullish narrative to hold, Bitcoin must decisively break above the $115,000 level. Doing so would confirm the start of a new impulsive leg upward and potentially attract more institutional capital as the asset enters full price discovery mode. Until then, BTC remains in a critical zone that could define its trend for the coming weeks.<\/p>\n

According to top analyst Axel Adler<\/a>, the current rally has naturally decelerated, with momentum slowing by 38% following the all-time high breakout. Adler explains this as a \u201ctechnical cooldown,\u201d a normal pattern where the market consolidates or pauses after reaching major milestones. This \u201cbreather\u201d allows leveraged positions to unwind, liquidity to reset, and investor sentiment to stabilize before a potential next leg higher.<\/p>\n

\"Bitcoin<\/p>\n

Despite macro concerns, the price structure remains firmly bullish, and short-term consolidation may ultimately strengthen the foundation for another surge. If BTC can maintain current levels and absorb overhead resistance, the path toward $120K could come sooner than expected. Until then, all eyes remain on Bitcoin\u2019s behavior at the $115K barrier\u2014a critical mark that could define whether this rally has more fuel or if a correction is due.<\/p>\n

BTC Holds Above $111K: Momentum Slows After Breakout<\/h2>\n

The 4-hour chart for Bitcoin (BTC\/USDT) reveals a strong uptrend, with price currently consolidating around $111,000 after reaching a new all-time high at $111,356. Price action remains bullish, holding above the 34 EMA (green), 50 SMA (blue), and key support levels at $103,600 and $100,000. This structure indicates a healthy continuation pattern, where BTC is taking a breather after an explosive rally from below $100K.<\/p>\n

\"BTC<\/p>\n

Volume has tapered slightly, supporting CryptoQuant\u2019s insight that momentum has cooled by 38%\u2014a normal pause after reaching new highs. Moving averages are sharply upward-sloping, with the 200 SMA (red) far below current price, reflecting strong bullish momentum and wide separation from longer-term trends.<\/p>\n

The current consolidation zone resembles a flag or pennant formation, which typically precedes another leg up if buyers step in with volume. However, traders should monitor any sharp drop below $107K, which would signal fading momentum and increase the risk of a correction toward the $103,600 support.<\/p>\n

Featured image from Dall-E, chart from TradingView<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Bitcoin is holding strong above the $110,000 level after breaking its previous all-time high on Wednesday, signaling the potential start of a massive bullish phase. The breakout marks a significant psychological and technical milestone, reigniting optimism across the crypto market. With bulls firmly in control, analysts are closely watching price action as BTC enters uncharted […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":0,"footnotes":""},"categories":[2],"tags":[3,4,5],"class_list":["post-28381","post","type-post","status-publish","format-standard","hentry","category-news","tag-crypto","tag-doge","tag-news"],"_links":{"self":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/28381","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=28381"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/28381\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=28381"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=28381"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=28381"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}