TechFlame reports that blockchain data analysis company CryptoQuant pointed out that after hitting a record high of $123,000 last month, Bitcoin is showing signs of short-term consolidation or moderate downside risk. The company said in a report released on Thursday: “Bitcoin has entered a cooling period in the bull market, and the bullish index has dropped from 80 to 60. Although the overall environment is still positive, upward momentum is weakening. CryptoQuant's bullish index assesses the strength of the Bitcoin market through multiple on-chain indicators. Values close to 100 indicate strong buying and bullish sentiment, while values close to zero indicate heavy selling pressure.” According to CryptoQuant's analysis, the current 60 index value is still in a bullish range, but momentum continues to subside. The fall in the index reflects both the end of profits after reaching a record high, as well as a seasonal slowdown in summer trading activity. The report specifically warns: “If prices weaken further, the indicator could fall into negative territory, causing the bullish index to fall below 40 for the first time since April 2023 — this will officially confirm the market's transition to a bear market.” Julio Moreno, head of research at CryptoQuant, added: “The interest rate cut at the September meeting of the Federal Reserve may become a new catalyst, which is in line with the general expectations of the market.”