Bitcoin Price Analysis: Is This BTC’s Calm Before Another Major Storm?
Bitcoin is stabilizing around $110K after a corrective phase, with price action showing early signs of consolidation.While the market is holding key support zones, momentum remains muted, and sentiment indicators like exchange reserves are pointing to long-term accumulation.By ShayanThe Daily ChartOn the daily timeframe, BTC has broken below its ascending channel but found support near the $110K region, which aligns closely with the 100-day moving average. The RSI sits around 44, showing that momentum is weak but not in oversold conditions yet. This suggests that the market is in a pause phase, waiting for either a rebound confirmation or a deeper retracement.If the buyers defend $110K successfully, the next resistance sits at $116K and then the $124K record high. However, a breakdown below $110K could extend the decline toward the $104K demand zone, which has acted as a strong base in the past.The 4-Hour ChartOn the 4-hour chart, Bitcoin broke out of a steep descending channel but is now moving within a smaller rising channel. Price is currently retesting the $110K–$111K zone, which has become the key short-term pivot. The RSI is balanced around 49, reflecting market indecision and a lack of clear momentum.If this support zone holds, a push toward $114K is likely, where sellers could step in again. On the other hand, a clean drop below $109K would invalidate the short-term bullish structure and open the way for a deeper move toward the $104K demand zone previously mentioned.Onchain Analysis Exchange ReserveExchange reserves continue to show a sharp and consistent decline, reaching multi-year lows. This indicates that more Bitcoin is moving off exchanges into cold storage, a clear sign of long-term accumulation and reduced sell-side supply. Historically, such drawdowns in reserves have supported bullish trends, even during corrective phases.The steady outflow suggests that despite short-term volatility, investor conviction remains high. With fewer coins available on exchanges, the supply shock narrative strengthens, which could support a bullish reversal once demand picks up again.