Bitcoin had a remarkable increase earlier this week, climbing over $ 104,000 and registered a weekly profit of almost 10%. After reaching this level, however, it seems that it seems to have experienced resistance, with upward momentum delay and the price action in recent days relatively flat.
At the time of writing, BTC acts at $ 103,663, which reflects a modest increase of 1.7% in the last 24 hours. In the midst of these price performance, one of the top analysts of Cryptoquant, Darkfost, offered insight into current market stagnation.
Derivatives market activity signals on short -term insecurity
According to his after On X the root of the delay seems to come from the derivatives market. In particular, he pointed to the cumulative network volume, a metric that follows the net volume of the market orders, which has stayed in a negative area since BTC over the psychological threshold of $ 100,000.
This suggests that there are more aggressive sales orders (shorts) than buying orders (lungs), creating a persistent downward pressure on the price. Taker Volume is a useful measure for real-time trader’s rigiment, and when it is negative, this usually indicates that market participants expect prices to fall, which gives rise to more short-selling.
The main reason why BTC is currently on these levels comes from the derivatives market.
The cumulative network volume has usually remained in a negative area since BTC climbed back over the psychological level of $ 100,000.
– What does this mean? Reetin simple … pic.twitter.com/2abz3qzq0s
– Darkfost (@Darkfost_coc) May 16, 2025
Darkfost emphasized that this trend is a reflection of increasing uncertainty among traders about Bitcoin’s short -term power to reach new all time. Although the long -term sentiment remains positive, the imbalance in the activity of derivatives emphasizes a cautious approach to the participants.
“It clearly reflects a growing sense of doubt among traders with regard to Bitcoin’s ability to achieve a new of all time in the short term,” he said. “In such a context, the market is happy to prove that they are wrong.” This sentiment-driven hesitation has delayed the pace of the Bitcoin meeting, even if it remains at a striking distance from the January high.
Bitcoin Technical Setup Hints at Bullish Continuation
Meanwhile, technical analyst marks Javon Marks pointed Mapping patterns that suggest a possible continuation of Bitcoin’s bullish trend. He emphasized the formation of a bull flag, a technical pattern that is often interpreted as a break before the continuation of an upward movement. “Bitcoin seems to mark bull right under all time. An outbreak can send it above,” Marks wrote.
If confirmed, this may indicate renewed upward pressure and open the door for another leg higher. Moreover, Marks noted that Altcoins exhibit similar behavior as earlier market cycles, in particular the states that were seen in 2017 and 2021. He suggested that the current phase can precede a wider Altcoin rally, which historically tends to follow Bitcoin’s movements.
Altcoins seem to be moving in the same way and on the right track, just like in the increases of 2017 and 2021.
The next phase seems to be true #Altcoins Deliver the green light, or in other words, push in their most bullish phases.
This can steer Alts much higher, fast
! pic.twitter.com/2wrr0wotzb
– Javon
Marks (@Javontm1) May 16, 2025
Featured image made with Dall-e, graph of TradingView
Credit : www.newsbtc.com
