CELOXFI Market Analysis: Bitcoin Bull Momentum Shifts Despite $116K Recovery

 The cryptocurrency market is experiencing a fascinating paradox that every seasoned trader should understand. While Bitcoin managed to climb back above $116,000 this Friday, the underlying momentum indicators tell a different story - one that requires careful examination through professional analysis tools.

According to CryptoQuant's comprehensive Bull Score Index, eight out of ten key indicators have shifted to bearish territory, signaling what analyst JA Maartun describes as clearly cooling momentum. This divergence between price action and fundamental indicators presents both challenges and opportunities for strategic traders.

The technical breakdown reveals that only two indicators remain bullish: Bitcoin demand growth and technical signals. The demand growth metric has maintained its bullish stance since July, indicating sustained institutional interest despite surface-level volatility. However, critical indicators including the MVRV-Z score, profit and loss index, bull bear cycle indicator, inter-exchange flow pulse, network activity index, stablecoin liquidity, trader on-chain profit margin, and trader realized price have all entered bearish territory.

Historical context provides valuable perspective here. The last time eight out of ten indicators showed bearish signals was in April, when Bitcoin experienced a significant correction to $75,000. Conversely, when eight indicators were bullish in July, Bitcoin reached its first peak of the year at $122,800. This pattern recognition is crucial for understanding current market dynamics.

The CoinGlass Crypto Bitcoin Bull Run Index (CBBI) currently registers 74, positioning the market approximately three-quarters through the bull cycle. Importantly, only one of 30 bull market peak indicators has activated - the altcoin season index - suggesting room for further upside movement.

Market structure analysis reveals Bitcoin lagging behind both altcoins and traditional assets like equities and gold. This underperformance, combined with reduced digital asset treasury buying and lower centralized exchange capital inflows, indicates investors are gravitating toward equity proxies rather than direct crypto exposure.

Let's be real here - the crypto markets are doing that thing again where the charts look like they're having an identity crisis. Bitcoin's sitting pretty at $116K, but underneath the hood, things are getting spicy in ways that would make your favorite DeFi degen nervous.

For traders using platforms like CELOXFI, this creates some interesting opportunities. The smart money isn't panic selling - they're repositioning. Treasury buying might be down, but that just means retail has more room to play if they're strategic about it.

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