Bitcoin may struggle to sustain its upward trend unless new catalysts generate increased excitement among investors, according to a recent report by Glassnode.
“Without a renewed catalyst to lift prices back above $117.1k, the market risks deeper contraction toward the lower boundary of this range,” Glassnode stated in the report published on Wednesday.
At the time of publication, Bitcoin (BTC) was trading around 5% below the $117,000 level, at approximately $110,840, according to CoinMarketCap.
Glassnode highlighted that historically, when Bitcoin fails to hold above this price zone, it often precedes prolonged mid- to long-term corrections. The report also pointed out a recent increase in profit-taking among long-term holders, which may signal “demand exhaustion.”
Hyblock Capital CEO Shubh Varma shared his outlook with Cointelegraph, expecting a “relatively volatile month” with potential upside ranging from $116,000 to $120,000. However, he noted that sideways price action is the “likely outcome” following a significant market crash.
Despite this consolidation, Varma highlighted several positive indicators that suggest potential momentum for Bitcoin. “ETFs inflows remain quite high, and spot volume seems healthy,” he remarked.
Prior to last Friday’s wider crypto market crash—during which Bitcoin briefly dipped to $102,000—US-based spot Bitcoin ETFs had recorded a nine-day inflow streak, amounting to $5.96 billion in total inflows, according to data from Farside.
Another potential bullish catalyst is the prospect of continued interest rate cuts by the US Federal Reserve. Rate cuts are typically viewed as positive for riskier assets like cryptocurrencies because they encourage investors to shift away from traditional investments such as bonds and term deposits, which become less attractive in a lower interest rate environment.
According to the CME FedWatch Tool, markets are currently pricing in about a 95.7% chance of another rate cut at the Fed’s October 29 meeting.
Adding to the optimistic outlook, 21Shares crypto research strategist Matt Mena said that with recent liquidations, anticipated policy easing, and accelerating structural demand, the setup for digital assets into the year-end appears “increasingly constructive.”
Mena forecasted Bitcoin potentially moving toward $150,000 as “macro tailwinds and institutional flows continue to align.”
Meanwhile, other analysts are projecting even higher values by the end of the year and beyond. BitMEX co-founder Arthur Hayes and Unchained Market Research Director Joe Burnett, for example, are forecasting Bitcoin prices reaching $250,000 by the end of 2025.
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