Bitcoin Stuck in Narrow Range as Analysts Warn Against Meme Coin Frenzy
Bitcoin has been trading in a narrow range around $78,000, prompting analysts to warn against investing in meme coins. Prominent technical analyst Doctor Profit noted that $71,000 is extremely strong support for Bitcoin, with $78,500 as the next major resistance and $82,000 confirming a full bull market.
However, he argued that the recent move was driven by a short squeeze rather than heavy spot buying or new leveraged longs piling in. The daily RSI is hot, but weekly and monthly readings remain neutral, suggesting caution.
Crypto Rover pointed out that Bitcoin's push higher over the weekend has been driven by leverage rather than real buyers, flagging a potential sharp reversal if spot buyers do not step in to validate the move. He noted that the last time this exact setup appeared, Bitcoin dropped from $81,000 to $77,000.
Widely-followed trader Smiley Capital emphasized the importance of differentiating between major cryptocurrencies like Bitcoin and Ethereum, which are considered core long-term positions, and revenue-generating protocols like Hyperliquid, which are worth owning rather than just trading. Other altcoins and meme coins should be viewed as speculative investments.