Bitcoin Slips Below $106K But Quickly Recovers, Market Sentiment Holds in ‘Greed’

The crypto market remains resilient despite Bitcoin slipping to just above the $105,000 mark earlier on Wednesday. According to CoinMarketCap, BTC is currently trading above $107,400, reflecting a 0.8% daily gain. Despite the short pullback, the Crypto Fear & Greed Index posted a “Greed” score of 63 out of 100, only slightly lower than Tuesday’s reading, indicating that market participants continue to display optimism, even as Bitcoin navigates a period that has historically seen muted performance. Heading Into a Historically Weak Quarter Analysts are closely watching to see when Bitcoin might retest its all-time high of $111,970 , achieved on May 22. Optimism was high earlier this week as BTC traded near $109,000, but the momentum slowed as the third quarter began on July 1. Crypto trader Daan Crypto Trades noted on Tuesday that the third quarter is typically the weakest for BTC and ETH due to slower summer months characterized by reduced trading volumes and liquidity. Historical data from CoinGlass shows that BTC has averaged a 5.47% gain in the third quarter since 2013. If this trend holds, Bitcoin could approach $111,000 by the end of September, just below its all-time high. Indicators Signal Continued Bitcoin Dominance BTC’s second-quarter performance closely aligned with historical trends, delivering a 31% gain to end June at $108,383, outperforming its 27% average Q2 return since 2014. June also closed with Bitcoin’s highest monthly candle, reinforcing bullish sentiment in the market. Bitcoin’s dominance in the crypto market remains strong, sitting at around 65.5% and marking an increase of nearly 13% this year, according to TradingView data. Meanwhile, the Altcoin Season Index by CoinMarketCap currently sits at a “Bitcoin Season” score of 20 out of 100, indicating that altcoins continue to underperform relative to BTC over the past 90 days. However, caution lingers. CryptoQuant’s head of research, Julio Moreno, noted that their Bitcoin Bull Score Metric has dropped into neutral territory, currently reading 50 out of 100. “Bitcoin Bull Score is in NEUTRAL territory now—50. Needs to be 60 or above for prices to sustain a rally,” Moreno stated , suggesting that while the market remains optimistic, further momentum is needed to break higher in the coming weeks. The post Bitcoin Slips Below $106K But Quickly Recovers, Market Sentiment Holds in ‘Greed’ appeared first on TheCoinrise.com .

Source: The Coin Rise