Bitcoin Support Weakens as Demand Fades and Traders Stay on Sidelines

Bitcoin continues to show signs of fatigue after failing to maintain its consolidation range between $106,000 and $116,000. The latest market data suggests that buying pressure is weakening, with traders hesitant to re-enter the market amid an overall lack of conviction.

After briefly touching $116,000 last week, the world’s largest cryptocurrency lost momentum as long-term holders began selling, while institutional investors stayed on the sidelines. This imbalance has dampened overall sentiment, pushing prices lower and leaving the market searching for direction.

Traders Turn Defensive as Volatility Fades

Recent data shows a sharp contraction in Bitcoin’s price swings, signaling growing indecision among traders. Following the major sell-off in early October, many have chosen to wait for clearer signals before taking new positions. Broader economic uncertainty, including mixed indications from recent monetary policy updates, has only reinforced this cautious behavior.

Although Bitcoin continues to hover above the $106,000 mark, on-chain data points to persistent weakness. Long-term investors are reportedly selling more than 100,000 BTC per month, locking in profits while short-term traders see their margins shrink. With new inflows slowing, the market’s momentum appears to be losing steam.

Price Outlook: $100K or Recovery?

Bitcoin’s near-term performance will likely hinge on whether fresh capital—particularly from ETFs—returns to the market. Without it, the cryptocurrency risks drifting lower toward the $100,000 zone. On the upside, a decisive move above $116,000 backed by strong trading activity could signal the start of a broader recovery as November progresses.