Bitcoin is facing a crucial decision point as it enters the first week of September, with the price hovering around $26,000. Traders and analysts are uncertain about the next move for Bitcoin, with downside price predictions ranging from $25,000 to $23,000. Bulls are struggling to regain market momentum. The coming week holds little significant macroeconomic data, but the Federal Reserve’s comments on the state of the economy could impact market expectations. Bitcoin mining difficulty is expected to decrease by around 2.4% in its upcoming readjustment, following a surge in difficulty two weeks ago. The supply of Bitcoin held by long-term holders is increasing, which could create supply constriction and drive up demand. Google search interest in Bitcoin has returned to pre-2020 levels, indicating a lack of mainstream attention. The overall market sentiment is currently characterized by fear, according to the Crypto Fear & Greed Index.
