Analysis: Technical indicators show that Bitcoin may enter a consolidation phase in the next 1 to 2 months

PANews reported on July 18 that Matrixport's latest report pointed out that Bitcoin has recently entered a new trading range driven by favorable US policies, fiscal and economic data, but is currently close to the upward boundary. Technical indicators show that it may enter a consolidation phase in the next one to two months. In the past 18 months, the price of Bitcoin has gradually increased by $16,000 per step. Currently, $122,000 is a reasonable target, but it has recently reached and quickly fell back. The market may be accumulating strength to prepare for the next round of increases.

The report analyzed that Bitcoin technical indicators showed that it had entered an overbought state, with the RSI index exceeding 70, and multiple reversal signals were falling. If the price of Bitcoin can fall back to the $106,000 to $108,000 range and stabilize, it may ease technical pressure and create conditions for subsequent increases. At the same time, market sentiment is hot, and the "Greed and Fear Index" has entered the "Greed" range, narrowing the room for growth.

On the macro level, the increase in US core inflation data was lower than expected, and the Federal Reserve may release a signal at the end of July to pave the way for policy adjustments in September. The recent positive news such as the increase in the US debt ceiling and the progress of the stablecoin bill also promoted short-term fluctuations in Bitcoin.