Bitcoin ($BTC) is experiencing increased volatility in its price movement. The Volume-Weighted Average Price (VWAP) bands of Bitcoin signify resilience, as the spot price shows noteworthy investor confidence amid the extreme bearish levels in the Futures Pressure Index. As per Axel Adler Jr., a well-known crypto analyst, the selling waves are reportedly being comprehensively absorbed around the fourteen-day Volume-Weighted Average Price (VWAP) level of $114.5K. This development offers crucial support, adding to the short-term momentum as well as the long-term sustainability.
$BTC VWAP Bands Display Robust Support Levels Amid Upward Bias
In line with the market data, Bitcoin’s current 14-day VWAP level is hovering around $114.5K, indicating strong market momentum. The VWAP bands (+1σ, -1σ, +2σ, and -2σ) present the higher resistance as well as the bottom support zones. At present, the price of the leading cryptocurrency is held within the VWAP structure’s upper half portion. This highlights an inclination toward the short pressure’s absorption amid upward bias and consolidation. Thus, as long as $BTC prevents a drop into the lower half range between -1σ and -2σ, bullish investors are maintaining a technical advantage.
Strong Support Highlights Growing Demand in Spot Market
According to Axel Adler Jr., the current resilience shown by the VWAP bands is important, parallel to the plunge in the Futures Pressure Index. Based on the historical data, such decreased levels normally correspond with extreme bearish speculation or selling activity. However, Bitcoin’s potential to maintain its position above the $114.5K VWAP level exhibits strength in the broader spot demand.
Thus, this dynamic points out that irrespective of the downward pressure driven by derivatives, purchasers are actively entering at crucial support zones while expecting noteworthy breakout phases amid consolidation.
