Bitcoin's Stalled Breakout: On-Chain Data Points to Waning Momentum

Bitcoin's price movements have been a topic of interest in recent days, with repeated bullish signals failing to translate into sustained rallies. Despite three consecutive divergences on the 8-hour chart, the cryptocurrency has struggled to break above its resistance level.

The Relative Strength Index (RSI) has recorded higher lows on each occasion, indicating weakening selling pressure and potential reversal. However, the lack of momentum is puzzling, given the repeated technical signals.

On-chain data suggests that whale concentration and long-term holder confidence are waning, which may be contributing to the lack of momentum. The number of entities holding 1,000 BTC or more has declined by 15 in three weeks, while the Long-Term Holder Net Position Change indicator has dropped by nearly 47%.

The next key levels for Bitcoin include $69,920 and $66,624. A clean close above $69,920 would be an early signal that this divergence is different from the previous two attempts, while a failure to hold above $66,624 could indicate that on-chain weakness has overpowered technical signals.