The market chart has shown a very cold signal, and a trend reversal may be imminent.

The market’s silence has reached an extreme level. Whether in terms of capital sentiment or trading enthusiasm, the overall state remains sluggish, and this extremely quiet sideways movement is accumulating energy for the market’s next sharp fluctuation. By late January, most mainstream cryptocurrencies are still oscillating within their narrow ranges, making the sideways pattern increasingly evident.

Trading volume is sluggish, mainstream coins are trapped in narrow ranges

The most prominent feature of the current market is the sharp contraction in trading volume. Although major assets like Bitcoin have not experienced significant declines, they lack upward momentum and instead continue to move sideways within small ranges. This typical sideways trend indicates that market participants are observing, with large funds in strategic silence. From a technical perspective, such a pattern often suggests the market is gathering strength; once it breaks out of the narrow range, volatility will be quite intense.

Narrow ranges brewing a change, downside probability is higher

Based on the current trend, the probability of a downward dip is higher than that of a direct upward move. In this extremely cold sideways market, bearish forces are more likely to initiate first, and new lows often appear at this time. For traders, patiently waiting for the opportunity to buy at new lows is a more rational strategy. Once the downside is completed, the rebound will see the market breaking through the range with a more decisive stance.

Precious metals’ rise reflects inflation expectations; Bitcoin’s long-term logic remains unchanged

What is more worth noting is that the strong upward movement in precious metals prices is already signaling inflation expectations. This clear signal reminds investors that macroeconomic variables are still brewing. The market rhythm in 2026 will be dominated by policy effects and real economic performance, and Bitcoin, as a hedging asset, still maintains its unparalleled consensus advantage and unique value proposition. While waiting for the big trend to emerge, the market will ultimately re-recognize Bitcoin’s irreplaceable position.

Disclaimer: The article only represents the author’s personal opinions and does not reflect the views and stance of BlockCast. All content and opinions are for reference only and do not constitute investment advice. Investors should make their own decisions and transactions; the author and BlockCast will not be responsible for any direct or indirect losses resulting from investors’ trading.