Analyst: Bitcoin May Remain Range-Bound, Market Focuses on Powell's Speech This Friday

On August 19th, CryptoQuant analyst Axel Adler Jr. posted and stated, "The sentiment index in the futures market has dropped below the neutral zone to 36%. From August 11th to 14th, as the Bitcoin price surged to $123,000, this index briefly rose to 70%. Currently, the Bitcoin price is maintaining at $115,000, and the momentum of the sentiment index is decreasing: in the index composition, sellers dominate in the short term (net traders and volume difference are negative), while open interest contracts remain neutral. This indicates that the market has transitioned from a state of euphoric sentiment at the peak to a range-bound phase." This state implies that when the index is still below 45-50%, a rebound may trigger selling pressure, and the price is likely to fluctuate in a narrow range. If the index continues to be lackluster during a weak rebound, it may increase the testing of $112,000. The key this week is Powell's speech at the Jackson Hole summit on Friday (economic outlook and framework review), and the content of this speech may determine the future direction of market sentiment.