Bitcoin is facing a short-term distribution-the analyst explains the reason for the market for the bull is sound
After weeks of intense sale pressure, Bitcoin (BTC) entered a standardization stage, trading without a mark of $ 85,000 and more than 80 thousand dollars. The bulls now face a decisive test, as they must pay BTC above 90 thousand dollars to prevent the bears from low driving prices.
Bitcoin has now decreased more than 29 % since it reached its highest levels (ATH) in January, which has sparked increasing speculation about the potential bear market. Feelings are still cautious, not to make sure that merchants are not sure whether BTC has been bottled or if the negative side is another.
Cryptoquant data reveals that the current stage of the negative demand indicates that the distribution of BTC, a pattern historically, led to temporary corrections, has not always indicated a complete reflection of the direction. According to the data, the demand for Bitcoin decreased by -140 km BTC, which is much lower than the previous external flows of the -268k BTC and -437K BTC.
While this translated sales pressure adds uncertainty, analysts indicate that the current decline does not threaten the wider bull market. The coming days will be very important, as Bitcoin must retain its current group and restore the main resistance levels to confirm the recovery or additional losses of risks if the bears remain in control.
Bitcoin Bull is not over yet
The encryption markets and American stock markets are fighting amid total economic uncertainty and fears of the trade war, creating a difficult environment for investors. Bitcoin (BTC) has now decreased by 20 % since the beginning of the month, and it appears that the declining trend is likely to continue with the feeling remaining weak.
Despite this short -term negative view, the basics of the market are still strong. Institutional adoption continues to grow, and US President Donald Trump’s plans to create a strategic bitcoin reserve can be a major incentive to take prices in the future. Many analysts argue that although the current conditions are declining, they do not necessarily indicate the end of the bull market.
Axel Adler supports major analysts. Share ideas on x This indicates that BTC’s decline is part of the regular market cycle instead of the beginning of the prolonged contraction. According to Edler, the current stage of the negative demand indicates the distribution of BTC, a trend that historically led to temporary corrections but has not always indicated the reflection of the complete direction. The demand has decreased by approximately -140 km, which is much lower than the previous flows of the previous crisis than the -268k BTC and -437k BTC.
Adler also notes that despite the current specified sale pressure, this decrease does not threaten the wider bull market. Instead, it appears to be a short -term event to achieve profits after Bitcoin has absolutely rising (about 109 thousand dollars) and a reaction to the macroeconomic factors.
In addition to the uncertainty in the market, the Federal Reserve continues to maintain a narrow monetary policy, while inflation data has exceeded expectations, prompting the markets to control price expectations. This has increased pressure on risk assets, including BTC, which led to more cautious fluctuations and investor morale.
Prices are struggling without the main moving averages – bullfighting to recover 85 thousand dollars
Bitcoin is currently trading at $ 84,300, struggling to restore momentum after weeks of pressure. The price is now less than 200 days moving average (EMA) at 85,500 dollars, but it is still slightly higher than the 200 -day moving average (MA) about $ 84,000. The bulls must get this support and restore the level of $ 85,000 to prevent more from the negative side.
For a certain recovery process, BTC needs to penetrate $ 85,000 and pay more than $ 90,000 as soon as possible. The restoration of these levels would refer to the renewed bullish momentum, which may reflect the current declining direction and lead to a re -testing higher resistance areas.
However, if BTC fails to restore MA and EMA for 200 days, it may face stronger sale pressure, which leads to a possible decrease to the level of $ 80,000. The loss of this main psychological support is likely to sell panic, forcing BTC to decrease the demand areas and expand the current decline.
As the market conditions continue, the bulls should quickly behave to push BTC over the resistance and prevent more negative risks. The next few trading sessions will be crucial in determining the direction of Bitcoin in the short term.
Distinctive image from Dall-E, the tradingView graph
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