Investors Reassess as Bitcoin's Range Trade Ignores Breakout Hopes

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Bitcoin May Test $113,000 After False Breakout as Sideways Trading Near $113k–$117k Appears Possible

Bitcoin's price trajectory has shown signs of uncertainty in recent weeks, with traders and analysts noting a failed breakout above the $117,000 psychological threshold. On September 9, 2025, the cryptocurrency briefly surged past $117,500 before retreating back into a consolidating range between $113,000 and $117,000. Technical indicators suggest that the market is currently in a phase of consolidation, with momentum oscillators like the Relative Strength Index (RSI) signaling overbought conditions at the upper end of the range.

The false breakout has raised questions about the strength of demand at current price levels. Analysts suggest that the market may enter a period of sideways trading as investors reassess risk levels and macroeconomic conditions remain mixed. While the U.S. dollar index (DXY) has shown some resilience, easing inflation data and a cooling labor market have softened expectations for aggressive monetary tightening by the Federal Reserve. These factors, combined with the recent regulatory clarity in major markets, have created a more favorable backdrop for risk assets, including Bitcoin.

Volume data also supports the idea of a potential consolidation phase. Daily trading volumes have dipped below the 20-day average, indicating reduced conviction among traders to push the price beyond the $113k–$117k range. On-chain metrics reveal a growing presence of long-term holders, with approximately 15% of the circulating supply being held in wallets that have not moved in over a year. This suggests a shift in market sentiment from speculative trading to accumulation-based positioning.

Market structure analysis highlights that key resistance levels remain intact. The $117,000 level has historically acted as a psychological barrier, and a sustained break above this level with increased volume would be necessary to confirm a bullish reversal. On the other hand, a retest of the $113,000 support level could provide a clearer signal of the market’s direction. A breakdown below this level may trigger further selling pressure and push the price toward the $105,000–$108,000 support zone.

Analysts caution that while the current price range offers a temporary equilibrium, the broader macroeconomic environment remains a critical factor. Geopolitical tensions and potential U.S. monetary policy shifts could disrupt the balance, leading to increased volatility. Nevertheless, the recent stabilization in Bitcoin’s price and the absence of significant bearish catalysts have led some strategists to recommend a wait-and-see approach.