Bitcoin approaches a critical technical zone as broader financial markets pull back. The cryptocurrency is trading lower, raising concerns about short-term momentum.
Key Support Levels and Wave Structure
Bitcoin is currently trading at $113,763.01, reflecting a 0.95% decline over the past 24 hours. Analysts suggest that the coming sessions may determine the asset’s next major price direction. Bitcoin is positioned within wave 2 of a broader bullish Elliott Wave structure, testing key support levels that, if defended successfully, could trigger the next wave 3 rally toward $126,000.
ETF Outflows Add to Downward Pressure
Coinglass data highlights one of the steepest outflow phases for Bitcoin ETFs in 2025. This marks a notable shift after a year-long trend of steady inflows beginning in early 2024, with analysts interpreting the decline in ETF inflows as a sign of reduced investor confidence.
Current Situation Analysis
Traders are now closely monitoring whether Bitcoin can hold the support near the Fibonacci zone. A bounce could confirm continued bullish momentum, while a drop below key levels could signal a deeper retracement.
Bitcoin faces significant challenges amid declines in financial markets and ETF outflows. The next few days will be crucial in determining the short-term outlook for the cryptocurrency.
