Bitcoin's Tight Range: Bulls Weaken, Bears Stalled

Bitcoin's recent price action has been characterized by a narrow range of consolidation, with bulls showing signs of weakness and bears not strong enough to push the price down significantly. This tight accumulation phase validates a bearish narrative, as the buying volume has not reached the required range, suggesting a potential extended horizontal consolidation.

The Bitcoin price is currently hovering around $96,000, and a drop below this level could push it into a deep bearish well. Market sentiments have shifted back to fear or neutrality, indicating that traders are uncertain about the next price action. While BTC dominance remains above the gains, altcoins have been performing relatively well, which could raise concerns about the next price action.

As the Bitcoin price enters a prolonged consolidated phase, traders are wondering if a breakout is imminent after a period of compression. The BTC price attempted to rise above $100,000 but faced massive selling pressure, suggesting that bulls may be losing momentum. This could point to an extended bearish action, activating lower targets not visited in the past six months. Additionally, spot ETF outflows have seen nearly $500 million over the past three days, further validating the bearish claim.

With the price restricted within a range, Bitcoin degen longs and shorts are mounting up. Liquidity has been building on either side of the token, and the ones who will try to take it are likely the whales, while retail traders may bear the heat. The question now is whether the BTC price will trigger a rebound back to $100,000 before the monthly close.

The technical indicators suggest a bearish continuation, as the RSI and the CMF are heading south. This indicates that the rally and the bulls are both becoming weak, which may support a bearish narrative. The current trade setup suggests that the Bitcoin (BTC) price is prone to a pullback that may drag the levels back below $93,000, probably during the monthly close.