Why is Bitcoin price stuck?
The price of Bitcoin (BTC) has remained fairly stable for several days in a row. With BTC price volatility subsiding, cryptocurrency markets are digesting the SEC's lawsuits against Binance and Coinbase.
So why is Bitcoin's price stuck and what will be the next catalyst for a big move? Let's take a closer look.
BTC price dropped 1.5% week-to-date to around $26,690 despite several knee-jerk price moves in reaction to the U.S. Securities and Exchange Commission's (SEC) lawsuits against Binance and Coinbase.
Related: Breaking: Binance.US suspends USD deposits, warns of fiat withdrawal pause
In recent months, certain technical barriers have played a key role in subduing both bulls and bears.
For instance, a strong accumulation sentiment is visible near Bitcoin's 200-day exponential moving average (20-day EMA; the blue wave) at around $25,270. This helped contain the selloff that ensued from the SEC lawsuits earlier this week.
On the other hand, the 50-day EMA (the red wave) near $27,220 has served as a profit-taking indicator, thus leaving the Bitcoin price inside the purpled $25,000-27,220 consolidation range despite occasional breakout attempts.
Interestingly, Bitcoin 30-day volatility around the SEC lawsuits is roughly half of what was during the banking crisis rally in March 2023.
This suggests a cautious approach by bears, primarily ahead of the Federal Reserve's potential rate hike pause decision on June 16 — a potentially bullish event for Bitcoin. In the meantime, BTC price may continue consolidating inside the $26,000-27,450 range.
Related: Bitcoin price can gain 60% if ‘textbook’ chart pattern confirms — Trader
Bitcoin's long-term bias tilts bullish as long as it holds its 200-week EMA (the blue wave in the
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