₿ Weak? Stocks Gloat! 😱

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After a weekend so tranquil it could lull a stone to sleep, Bitcoin, that digital marvel (or menace, depending on your disposition), finds itself poised for a decision. The price, you see, has huddled nervously between $100,000 and $105,000 – a range so tight, it’s practically wearing a corset. Such confinement, history whispers, often precedes either a glorious breakout or a rather undignified tumble. For now, the bulls, those optimists of the financial world, cling to control. But their grip, alas, is as fragile as a landowner’s promise to his serfs. A slip below the $100K mark, and the whole edifice could crumble like a poorly constructed samovar. 📉

The market at large, a fickle beast, is growing restless. Many, blinded by avarice, expect Bitcoin to ascend to unprecedented heights. Yet, a shadow of caution lingers. Crypto analyst Daan, a fellow with a name as concise as his insights, suggests that Bitcoin has lately shown a certain…weakness compared to those stalwarts of tradition, the stocks. According to Daan, this underperformance – a veritable case of the sulks – followed the announcement of a US-China trade deal. It seems that reducing macroeconomic uncertainty is like offering a shot of vodka to the stock market, but Bitcoin prefers the angst! 🤔

While Bitcoin previously surged with the fervor of a lovesick poet facing uncertainty, it has since dawdled just beneath its all-time high, failing to outshine the equities. This divergence, this little dance of disparity, suggests that Bitcoin is increasingly viewed as a hedge during periods of, shall we say, *discomfort*. It’s the digital equivalent of a warm blanket during a storm, rather than a daring adventure. With tensions easing, capital, that flighty companion, may be seeking greener pastures, at least for the moment. All eyes, therefore, are glued to Bitcoin, waiting to see if it can break free from its self-imposed prison and reclaim its former glory. 🤩

Bitcoin Faces Resistance But Eyes Liquidity Above $105K

Our digital darling (or dud, depending on your portfolio’s mood) continues its consolidation above the $103,000 level, forming a range so tight you could barely squeeze a kopek in there. The bulls, bless their optimistic souls, are pushing to reclaim momentum, but resistance at the $105,000 mark remains as stubborn as a mule in winter. Liquidity clusters like grapes on a vine just above this level, stretching into the all-time high zone around $109,000, making it a critical region for a potential breakout. However, growing short positions have kept pressure on BTC, slowing upward momentum despite favorable broader conditions. 😒

Daan’s technical analysis adds depth to this picture. His review of the BTC/SPX 1D chart shows that Bitcoin has recently failed to outperform stocks, a notable change from previous weeks. The relative weakness followed news that the US reached a “Deal” with China, reducing market uncertainty and fueling a risk-on rally in equities. Bitcoin, on the other hand, stalled just below its highs.

Bitcoin Chart

This divergence suggests that Bitcoin is evolving into an asset that investors lean into during periods of outflows or global instability. While it may be underperforming in the short term compared to equities, BTC’s strong run-up prior to the trade deal remains intact. Daan notes that continued monitoring of this ratio is essential as the macro environment shifts, especially if new volatility emerges.

Weekly Chart Analysis: Breakout Confirmation Still Pending

The weekly chart for Bitcoin shows a strong recovery from the April lows, with BTC now consolidating just below the key $105,000 resistance zone. After reclaiming the $100,000 psychological level with a powerful bullish candle, the price is stabilizing around $103,000–$104,000, suggesting growing pressure for a breakout into new all-time highs.

Bitcoin Weekly Chart

Volume has remained relatively stable, with no extreme spikes, indicating steady interest rather than aggressive speculation. The structure still favors the bulls, as the current weekly candle holds above last week’s high and the price continues to trade well above both the 200-week simple moving average (SMA) at $47,372 and the exponential moving average (EMA) at $52,453.

The chart suggests that if Bitcoin can close the week above $105,000, we could see an explosive move into price discovery. However, repeated rejections at this level would increase the likelihood of a short-term correction. The $100,000 mark remains the key support for maintaining a bullish structure.

Momentum remains with the bulls, but caution is warranted as this is historically a high-risk, high-reward zone. Traders are watching closely to see if Bitcoin can break cleanly above resistance and begin a new leg higher. 🧐

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2025-05-18 15:13