According to recent research, the trend in the Bitcoin market may be on the verge of a significant change analysis provided by CryptoQuant Percival analyst.
Percival described Bitcoin’s current phase as “chopsolidation,” a term used to describe a period of minimal directional movement in which price consolidation occurs without a clear trend.
It suggests that this period may be coming to an end and that market movement should be expected soon in the coming weeks. The Chopsolidations metric, Percival notes, does not predict the direction of Bitcoin’s next move.
Instead, it assesses the exhaustion level of the current trend, helping to determine whether Bitcoin’s price will reverse or continue. Percival’s analysis highlights that while there are indicators of strength at various times, the market remains divided on the future direction of Bitcoin.
So far, some investors believe the recent accumulation will be enough to push Bitcoin above its all-time high, while others expect a more cautious upward move or even a potential correction.
Assessing Bitcoin’s support levels and potential price rebound
Percival’s analysis further points to two key periods in September and October when Bitcoin established significant support levels, marked by brief but significant price stability zones.
These areas, which he identified as orange zones on his chart (shared above), served as points where Bitcoin’s price “reloaded” – essentially, zones where demand was powerful enough to temporarily halt price declines.
With the current price hovering near these support levels, Percival suggests that the market could find a modern bottom if Bitcoin encounters any near-term downward pressure. This support could create the basis for an upward move in the coming weeks.
The Chopsolidations indicator, according to analysis by the CryptoQuant analyst, shows signs of readiness for a powerful trend based on weekly and monthly readings.
While he did not specify a specific direction, he noted that current market strength could be enough to push Bitcoin’s price higher if additional demand or a favorable macroeconomic environment is in line with market sentiment.
This trend may be short-term in nature, where sufficient market activity can drive up the price of Bitcoin.
Bitcoin is constantly struggling to make an critical move
So far, Bitcoin’s price has continued to struggle to make any significant movement, especially upwards. Instead, the asset’s volatility has calmed down following its recent dip below the $70,000 price point.
Notably, as of this writing, this asset is currently valued at $68,721 – the BTC price region has remained quite stable over the last 3 days since the recent drop.
Featured image created with DALL-E, chart from TradingView
