The Growth Momentum of $BTC Weakens: What Will Happen Next to the Price of Bitcoin?

The market price of Bitcoin has put investors and market experts in a precarious situation as traders remain uncertain about the next move of this coin. As of the time of writing, the main digital asset is trading at $86,326.35 after a fall of 1.02% in the past 24 hours. Bitcoin’s technical indicators are of no help as the (RSI) indicates a lack of decisiveness, while on-chain data from Glassnode shows BTC is trading in a range-bound market. The declining scale of profit-taking and loss events further emphasizes the weakening demand. Conducting in-depth analysis, the latest report “Forging Long-Term Holders” by Glassnode shows that Bitcoin is currently fluctuating between $78,000 and $88,000. According to the report, short-term holders are facing significant financial pressure. Feeling uncomfortable with the current situation, a large portion of their digital assets is below the purchase price.

Assessing the level of the situation, long-term holders are in a relatively safe zone. According to the analyst glassnode, long-term holders are currently entering an accumulation phase, which may lead to an increase in their total holdings in the near future. Going deeper into this issue, QCP has analyzed the developments of Bitcoin and according to the research team, macroeconomic and political uncertainties have greatly affected the price movements of BTC. The lack of clarity regarding U.S. trade policy, particularly the tariffs proposed by Trump on the automotive industry, adds to market instability. Analysts predict that this could lead to further exchange rate volatility in the near future. U.S. Senator Elizabeth Warren raises concerns about the Stablecoin bill. Entering the political arena, Senator Warren is a prominent figure, particularly regarding digital assets. In her recent statement, Elizabeth expressed her dissatisfaction with the newly approved stablecoin bill. She took the stage to warn that this law could pave the way for figures like former President Donald Trump and the CEO of Tesla, who is also the head of the DOGE department, to gain control of people’s money. Warren went on social media and announced that, This is Donald Trump’s latest scam to enrich himself. Congress should step in and amend the current stablecoin bill being passed by the Senate, which will help Trump – and Elon Musk – more easily control your money. The U.S. Stablecoin Trust Act (GENIUS Act), passed by the Senate Banking Committee on March 14, establishes licensing and regulatory requirements for stablecoin issuers. Although this bill is expected to enhance regulatory clarity, some experts believe it may ultimately promote Bitcoin adoption by bolstering confidence in the cryptocurrency ecosystem.

The price movement of Bitcoin over the past week has tested important support and resistance levels. BTC surpassed the (EMA) 200-day exponential moving average at $85,570 on Sunday, increasing by 4.45% until Monday. However, it then stabilized around $87,000 and briefly tested the 200-day EMA on Wednesday.

At the time of writing, BTC is trading slightly above this support level and is approaching the downtrend line that has been in place since mid-January. A successful breakout and close above this trendline could push BTC up to the psychological resistance level of 90,000 dollars. The next price rally could witness a surge to the peak of $95,000 on March 2. Conversely, if BTC faces rejection at the descending trend line and closes below the 200-day EMA, a decline to the support level of $78,258 may be imminent.