CryptoQuant analyst Axel highlighted a notable shift in Bitcoin’s market sentiment, with the Advanced Sentiment Index dipping to around 46%, falling below the neutral 50% benchmark. Despite a bullish surge exceeding 80% earlier in June, recent data reveals a persistent decline in sentiment, even as Bitcoin’s price modestly rebounded from $103,000 to $105,000. This decoupling is underscored by stagnant open interest and net buying volumes, which have not provided the necessary support to sustain upward momentum.
Currently, Bitcoin’s price fluctuates within a narrow $103,000 to $105,000 corridor, lacking decisive buying pressure to drive a breakout. For a robust rally to materialize, the sentiment index must recover to the 60-65% range, signaling increased market confidence. This recovery hinges on simultaneous growth in net active buying and open interest, critical indicators for validating bullish trends. Absent these conditions, the market is poised to retest key support levels between $102,000 and $103,000, emphasizing the need for cautious positioning amid uncertain trading dynamics.