Bitcoin has been moving sideways, and traders are starting to lose patience. The world’s largest cryptocurrency couldn’t hold recent highs, sparking talk about whether the market is bracing for a sharper swing. Some analysts say the pause is normal, others warn it could be the calm before the storm.

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Traders Watch Price Levels Closely

Popular market watcher Daan Crypto Trades pointed out that Bitcoin’s struggle to pick a direction isn’t unusual. He noted the coin has been locked between support and resistance zones, with neither bulls nor bears taking control. It’s the kind of setup that often leads to big moves once one side gives in.

$BTC August has been pretty uneventful for Bitcoin so far. We’ve seen some movement but no clear direction as price consolidates in this current range.

Never in history, has BTC seen both a green August and September. We tend to see a quick flush followed by an explosive Q4 in… pic.twitter.com/cClxJUG6Vh

— Daan Crypto Trades (@DaanCrypto) August 17, 2025 

Meanwhile, technical evidence sends mixed signals. By September 16, 2025, Bitcoin will reportedly hit at least $130,266, which is a 13.07% increase compared to the previous prediction.

The Fear & Greed Index is currently at 60, indicating that greed is on the menu, while sentiment indicators are neutral.

In the last 30 days, Bitcoin had 14 green sessions out of 30, and the average performance remained on the positive at 1.63%. That isn’t extreme, but it does indicate that traders are being cautious.

Analysts Split On What’s Next

There are a few investors who believe the current lull is nothing but a breather before another rally. They say that buying interest remains high, particularly with long-term demand coming from institutions.

Skeptics, however, believe the latest rejection at higher levels is a sign of weakness and that another pullback opportunity has opened up.

Jitters in the marketplace always invite disorientation, and this moment is no exception. A 13% gain sounds exciting, but sentiment may change in a heartbeat if the Bitcoin price loses the entire support level.

Traders are keen to see if momentum will pick up or if the sideways chop will continue.

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Is It A Good Time To Buy?

Based on technical indicators, reports suggest it may still be a decent entry point. But timing is tricky. With price forecasts pointing toward $130K and resistance overhead, the next few weeks could decide the short-term trend.

Some see this as a chance to accumulate, while others would rather wait for a clearer breakout.

For now, Bitcoin sits in limbo. Traders are scanning the charts, looking for clues on whether the path to $135K is still alive — or if the market is setting up for another surprise.

Featured image from Adobe Stock, chart from TradingView

Key Takeaways:

• Bitcoin price holds above $100,000, driven by “risk-on” sentiment after the CBOE Volatility Index (VIX) dropped to 20.

• The Bitcoin Bull Score Index surged to 80, and the Fear & Greed Index suggests growing optimism, with historical patterns indicating potential for further price gains.

Bitcoin (BTC) price continues to consolidate higher above $100,000 after the CBOE Volatility Index (VIX) dropped to its 30-year average of 20, down from a peak of 60 earlier in 2025. This decline follows a US-China trade deal on May 12, which introduced a 90-day tariff pause and a 115% reduction on both sides.

The agreement has fueled a “risk-on” sentiment, boosting Bitcoin and equities as investors lean into higher-risk assets, according to Bitcoin network economist Timothy Peterson. The analyst said, 

“$VIX dropped substantially yesterday on news of a potential China trade deal. It is now at ‘normal’ levels. This will be a ‘risk on’ environment for the foreseeable future.”

Adding to the bullish sentiment, the US Consumer Price Index (CPI) inflation rate dropped to 2.3% year-over-year in April 2025, the lowest since February 2021, down from 2.4% in March and below consensus forecasts of 2.4%. This softer-than-expected CPI reading signals easing inflationary pressure, potentially increasing the likelihood of Federal Reserve interest rate cuts in 2025, assuming other economic indicators align.

With respect to the current macroeconomic dynamics—lower volatility, cooling inflation, and a trade war truce- it creates favorable market conditions for Bitcoin.

Earlier this month, Peterson noted that BTC could reach $135,000 within 100 days, citing a drop in the CBOE Volatility Index (VIX) from 55 to 25, signaling a “risk-on” environment. With 95% accuracy, his model links low VIX levels to increased investor confidence in riskier assets like Bitcoin.

Related: Bitcoin shrugs off US CPI win as Binance CEO says BTC ‘leading pack’

Bitcoin bull score index reaches yearly high

After posting one of its least bullish phases in two years during April, Bitcoin sentiment flipped drastically to its highest reading in 2025. Data from CryptoQuant indicated a dramatic rise in the Bitcoin Bull Score Index, soaring from 20 to 80, a level historically associated with significant price surges.

This shift, driven by rising spot demand outpacing supply, reflects patterns observed after the April 2024 halving, suggesting Bitcoin could be poised for further gains.

Likewise, Bitcoin researcher Axel Adler Jr noted that while the Bitcoin Fear & Greed Index is climbing, currently at 53.3%, it remains below the “overloaded” zone above 80%. The analyst discussed the possibility of a market “upswing,” expressing hope for a successful test and surpassing Bitcoin’s all-time high near $110,000.

Related: Bitcoin profit taking at $106K the first stop before new all-time BTC price highs

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.