Bitcoin has faced multiple rejections at the $100,000 resistance level, triggering repeated pullbacks and raising investor concerns.
Despite these setbacks, BTC has shown resilience, maintaining support above $95,869 while long-term holders grow cautious and new investors take advantage of lower prices.
Investor Sentiment Turns Bearish
The Fear and Greed Index has dipped into the Fear zone, marking only the second time since October 2023 that market sentiment has turned bearish. This decline suggests that many investors are hesitant to re-enter the market, opting to wait for clearer recovery signals before making decisions.
A prolonged stay in the Fear zone could weigh on BTC’s short-term momentum. If traders continue to hold back, Bitcoin may struggle to build the necessary buying pressure for a breakout toward new highs.
New Investors Accumulate as Adoption Rate Increases
Despite cautious sentiment, Bitcoin’s adoption rate—which measures the percentage of new addresses participating in daily transactions—has increased to 44%, indicating fresh interest in BTC. This suggests that new market participants are buying Bitcoin at lower prices, preparing for a potential long-term rally.
If this trend continues, it could provide a much-needed catalyst for Bitcoin’s price recovery. Historically, an increase in new investors and fresh capital inflows has preceded major rallies in BTC’s price.
Bitcoin Price Outlook: What’s Next?
Bitcoin is currently trading at $97,293, holding steady above key support at $95,869. Maintaining this level increases the likelihood of a short-term move toward the $100,000 resistance. However, mixed market signals suggest BTC could remain in a consolidation phase if demand fails to pick up.
- If BTC flips $100,000 into support, it could trigger a sustained uptrend, boosting investor confidence and paving the way for higher price targets.
- If bearish sentiment persists, Bitcoin could remain trapped in a sideways range or even retest lower support levels.
In the coming days, investor sentiment and market liquidity trends will be crucial in determining whether Bitcoin can break through resistance and resume its upward trajectory.
