Bitcoin (BTC) has spent over ten weeks trading in a $10,000 price range as new all-time highs remain elusive.
Despite repeated attempts to break above $72,000 or dip below $60,000, BTC’s price has remained range-bound, reflecting trader uncertainty.
At the time of publication on May 29, BTC’s price was down 0.25% to reach an intraday low of around $67,522 amid lower trading volumes, suggesting an extended consolidation period.
BTC price supported by 2021 highs
Data from Cointelegraph Markets Pro and TradingView indicates BTC has oscillated between $60,000 and $72,000 for nearly ten weeks, struggling to turn previous all-time highs into support.
Popular analyst Daan Crypto Trades says BTC has been trading near its previous cycle high for about 11 weeks.
Historically, BTC has needed 4-8 weeks of consolidation around cycle highs before significant price movements.
Daan Crypto Trades said,
“During previous cycles, it took $BTC 4-8 weeks of consolidation around its previous cycle highs, all resulting in massive expansion afterward.”
After peaking at $73,835, BTC entered a consolidation phase. Glassnode’s “The Week On-chain” report, published on May 28, noted that BTC’s recent weekly, monthly, and quarterly performance is subdued compared to previous cycles.
Historically, BTC shows strong price gains exceeding 20% over these time frames within a 90-day window, signaling an extended uptrend. However, only five days in the last quarter have met this threshold, suggesting a more measured market.
Bitcoin whales are accumulating
BTC’s sideways movement corresponds with a decline in BTC transfers from private custody to exchanges. Between April 31 and May 28, exchange depositing wallets decreased from 52,968 to 25,904, reflecting whale accumulation. Whales, entities holding more than 1,000 BTC, are increasing their holdings, reducing market volatility.
Data tracked by IntoTheBlock reveals that wallets holding between $100,000 and $10 million worth of BTC have been increasing over the last quarter.
Traders turn to lower levels for BTC’s support
BTC’s price stability exceeds the $65,000 support level on lower time frames. Michaël van de Poppe, founder of MN Trading, suggests BTC may continue consolidating between $67,000 and $70,000, with $60,000 as critical psychological support.
“I’d prefer to see $67K hold, if that’s not the case, then we are back to $60-62K for a potential test and accumulation within this range.”
Data from on-chain metrics aggregator IntoTheBlock reinforces the significance of the support at $60,000. Its In/Out of the Money Around Price (IOMAP) model revealed that BTC enjoyed relatively strong support on the downside compared to its resistance in its recovery path.
According to the IOMAP chart below, roughly 1.59 million addresses previously bought approximately 478,800 BTC around the $60,000 support zone.
Just a few weeks after the halving, BTC’s price could continue to consolidate inside the $60,000 and $70,000 range before entering a parabolic uptrend.