Bitcoin Struggles to Maintain Momentum
Bitcoin’s price momentum appears to be stalling, with analysts warning that without a fresh market catalyst, the leading cryptocurrency could face a deeper correction in the coming weeks. According to a new report from Glassnode, Bitcoin’s lack of new drivers may keep it locked in a volatile trading range unless renewed enthusiasm returns to the market.
“Without a renewed catalyst to lift prices back above $117.1K, the market risks deeper contraction toward the lower boundary of this range,” the report stated.
At the time of writing, Bitcoin (BTC) is trading near $110,840, roughly 5% below its recent $117,000 peak, according to data from CoinMarketCap. The asset has slipped over 4% in the past 30 days, reflecting fading momentum amid growing profit-taking by long-term holders — a sign analysts say could indicate “demand exhaustion.”
Volatility Expected to Continue
Shubh Varma, CEO of Hyblock Capital, cautioned that October could be a “relatively volatile month” for Bitcoin, with potential upside capped between $116,000 and $120,000.
However, Varma emphasized that “sideways consolidation is the likely outcome” after the recent market crash, noting that spot trading volume and ETF inflows remain strong. Before Bitcoin’s sharp drop to $102,000 last Friday, U.S.-based spot Bitcoin ETFs recorded a nine-day streak of inflows totaling $5.96 billion, according to Farside data.
“Despite the pullback, ETF inflows suggest institutional demand remains resilient,” Varma said.
Rate Cuts Could Act as a Bullish Catalyst
Another potential tailwind for Bitcoin could come from the U.S. Federal Reserve’s expected rate cuts later this month. Lower interest rates typically boost risk assets like crypto by encouraging investors to shift away from bonds and deposits.
According to the CME FedWatch Tool, markets are now pricing in a 95.7% probability of another rate cut at the October 29 meeting, which could inject new optimism into digital assets.
Analysts See Constructive Outlook Toward Year-End
Matt Mena, crypto research strategist at 21Shares, believes the broader outlook remains positive: “With policy easing approaching and structural demand accelerating, the setup into year-end appears increasingly constructive for digital assets.”
Mena forecasts that Bitcoin could climb toward $150,000, driven by macro tailwinds and institutional inflows. Similarly, Arthur Hayes, co-founder of BitMEX, and Joe Burnett, research director at Unchained, predict that Bitcoin could reach $250,000 by the end of 2025 if current trends hold.
Analysts agree that Bitcoin needs a fresh narrative — whether ETF expansion, regulatory clarity, or macroeconomic easing — to spark its next rally. Without it, the cryptocurrency could face a prolonged consolidation phase or even a deeper correction before resuming its long-term upward trajectory.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.