The 50,000 mark is a hurdle, and Bitcoin bulls are showing signs of fatigue

Bitcoin is showing signs of bullish fatigue near $47,000 as upward momentum begins to wane, according to on-chain data and CoinDesk sources.

According to CoinDesk data, the highest transaction price of Bitcoin in 24 hours was $46,767. As of press time, the transaction price of Bitcoin was $45,212 per coin. However, some people believe that the price may only stay in this range temporarily, because only when the price of Bitcoin rises to around $50,000 will it generate huge resistance caused by changes in investor psychology.

Toby Chapple, head of trading at digital asset management firm Zerocap, said: “The derivatives market is currently a long market (Bitcoin futures), and the perpetual funding rate is positive, showing that the short-term positive interest rate is driven by retail investors.”

On the institutional side, the situation is slightly different, Chapple said. He said both Bitcoin and Ethereum futures positions are "quite tight," indicating an increase in short open interest. Bitcoin has risen 50% in three weeks and has risen above its long-term moving average, driven by strong institutional and retail investors.

However, cryptocurrencies are showing signs of bullish exhaustion, as can be seen from the relative strength index (RSI), an indicator that measures specific trends.

"The market needs to digest some of the overbought conditions before it can try to break through the $50,000 to $55,000 resistance level," Chapple said.

On Thursday, Jehan Chu, managing partner of Hong Kong cryptocurrency investment firm Kenetic Capital, said that although Ethereum has risen driven by "technological upgrades", Bitcoin has also benefited from this and its price has risen, the crackdown on cryptocurrencies by multiple governments remains a "significant threat." "Bitcoin may hover around $50,000 and then fall to below $30,000," Chu said when talking about the medium-term price forecast.

According to data from Glassnode, in the short term, the number of active Bitcoin addresses may begin to decline again, indicating that the market may be due for a correction.

And yesterday, after days of growth, an institution once again called out a target price of $100,000 for Bitcoin.