Analysis: BTC may experience range fluctuations, with $110,000 serving as the first strong resistance level

ChainCatcher news, according to Cointelegraph, research from CryptoQuant indicates that Bitcoin will continue to experience range-bound fluctuations. Analyst Percival pointed out that Bitcoin's 14-day volatility index (CI) is in the early zone, showing a corrective trend during the consolidation period.

It is reported that a higher CI value indicates greater market volatility, while a lower value suggests an upward or downward market trend, which means that in the short term, Bitcoin bulls may see slow progress in price discovery. As of the time of publication on December 7, the daily CI measurement was 56.7, marking the highest level since mid-August.

Percival stated that by looking at the actual prices of short-term Bitcoin holders, strong resistance levels that the market may encounter can be predicted. The first resistance level is $110,000 (+1.5sd), which represents a significant profit zone for STH. "When traders connect with psychological numbers, $120,000 has a very strong psychological and emotional impact, and as a value within +2sd, it makes this baseline a deeper consolidation area."