Bitcoin price has fallen to its lowest level since 2025, causing alarm in the market. The Fear and Greed Index confirms extreme fear among investors.
Current State of Bitcoin
Bitcoin is trading around $88,863, a 2.94% decline over the previous day. This followed a failure to maintain above the $92,000 support zone, increasing selling pressure. The Fear and Greed Index has soared to 25, indicating a sharp shift in market sentiment towards extreme fear.
Support and Resistance Levels
Bitcoin's break below $92,000 is worrying bulls as it sets the stage for further drops towards $85,600 and then $84,000. The 200-day moving average is approaching this area, making it a crucial level for potential recovery. To turn the tide back in favor of buyers, Bitcoin needs to recover $93,978, which aligns with the 100-day EMA. The bullish trend might be confirmed if there is a breakout above $98,500.
Bitcoin Forecasts
In the bullish case, a quick rebound to the $92,000-$96,500 range is anticipated if Bitcoin finds solid support between $85,600 and $84,000 and demand rises. A bullish reversal would be confirmed by breaking above $100,000, which might push Bitcoin back toward its all-time highs. In a bearish scenario, Bitcoin may drop further towards $80,000 or even $75,000 if selling pressure persists. A continued bearish trend could force long-term holders to reevaluate their investments.
Bitcoin is at a pivotal moment, with extreme fear dominating the market's short-term future.
