Bitcoin fell below $108,000 as rising reserves on Binance and cooling institutional demand indicate a loss of short-term momentum.
Summary
- Bitcoin price has retraced 2.7% in the last day with 63% higher daily volume.
- Binance data shows fading bullish alignment as exchange reserves climb.
- Technicals lean bearish with support at $106K and resistance near $111K.
Bitcoin was trading at $107,607 at press time, down 2.7% in the past 24 hours. The asset has moved between $106,786 and $115,957 over the last week, dropping 6.4% in seven days and 12% in the past month. It now sits 14% below its all-time high of $126,080 reached on Oct. 8.
Trading activity has picked up despite the price pullback. Bitcoin’s (BTC) 24-hour spot volume rose to $44.3 billion, a 62.6% jump from the previous day, showing renewed short-term participation.
Data from Coinglass shows a mixed picture. Bitcoin’s derivatives volume rose 44.46% to $73.07 billion, while open interest slipped 1.22% to $69.80 billion. This indicates that trading activity is rising but positions are being closed more frequently, a sign of short-term uncertainty.
Binance data shows BTC momentum fading
According to a Nov. 2 post by CryptoQuant contributor Arab Chain, Binance’s cumulative volume delta indicator fell to 0.777 at the start of November, down from highs near 0.91 in October. The CVD tracks the relationship between cumulative buying pressure and price action. The recent decline suggests that actual demand from large traders is declining, despite the fact that prices are still relatively stable.
The loss of synchronisation between buying flows and price action may suggest that recent price support is derived more from positioning and sentiment than from fresh liquidity, even though the overall market structure is still positive. A slight correction or a period of stagnation may begin if the CVD drops below 0.70.
In a separate post, Coindream, another CryptoQuant contributor, pointed out that Binance’s Bitcoin reserves had increased amid falling prices. Higher reserves have historically correlated with potential selling pressure as more Bitcoin becomes available for sale on exchanges.
Coindream noted that weak market buy volume and stronger net deposits may point to a short-term bearish setup.
Bitcoin price technical analysis
On the daily chart, Bitcoin trades just above its lower Bollinger Band near $107,500 while struggling to reclaim the mid-band around $109,700. The upper band near $111,800 remains the nearest resistance zone.
The MACD and momentum indicators both print negative values, confirming fading strength, while the relative strength index is at 41, suggesting mild bearishness.
From the 10-day to the 200-day line, all of the main moving averages are sloping downward, maintaining upward pressure. The 200-day EMA near $108,400 now acts as immediate resistance, while $106,700 forms the next key support. Below that, a break could open room toward $102,000 or even $100,000.
A recovery above $111,000 with rising spot volume could restore short-term bullish traction and indicate renewed institutional demand. Until then, the market remains in a cautiously bearish phase.
