Bitcoin is showing weakness. Perspectives of moving towards $80K support after dropping below $85K.
Technical Analysis
BTC is struggling to push higher with weak demand. Increased selling pressure could lead to a drop to the $80K support level in the coming days, though a surge in buying could trigger a breakout above this level, pushing the price to new highs.
The Daily Chart
On the daily chart, Bitcoin has been losing momentum. After briefly surpassing the 200-day moving average at $85K, a minor rejection occurred. The current retracement appears to be corrective, and if selling pressure grows, a drop toward the critical $80K support may occur. However, if unexpected buying pressure arises, a short squeeze could occur.
Futures Market Analysis
Futures market sentiment consistently offers valuable insights into Bitcoin's price trends, with funding rates serving as a key indicator. Recent data shows a decline in funding rates, nearing zero, reflecting a shift toward seller dominance. This mirrors market behavior from the summer of 2024.
The current Bitcoin market situation remains uncertain, but key indicators suggest a potential further fall to $80K or a short-term bounce if buying pressure strengthens.
