Bitcoin (BTC) is struggling. It’s been stuck below $85,000, and the overall market mood is pretty gloomy.
A Bear Market’s Grip
After losing the crucial $90,000 level, Bitcoin took a dive, briefly dipping below $80,000 last week. While buyers have tried to prop up the price, selling pressure is strong, preventing any real recovery.
Data shows that the average funding rate has dropped by 9% since the start of March. This means more traders are betting against Bitcoin, expecting the price to fall further. This bearish sentiment has been around for weeks.
Bitcoin’s current low is its lowest since late 2024, raising concerns that this bull run might not be as profitable as many hoped. Many investors expected a quick and strong price surge this year, but instead, we’ve seen persistent selling. Trade war worries and general economic uncertainty have hit both crypto and the stock market hard.
Bitcoin is down almost 20% this month, and there’s no clear sign of a turnaround.
Technical Indicators Point Downward
Bitcoin is trading below key moving averages. It hasn’t been able to break above the 200-day moving average ($84,100) or the 200-day exponential moving average ($85,500), keeping the bears in control.
To regain some momentum, Bitcoin needs to break above $86,000 and then reclaim $90,000. Failure to do so could mean a further drop below $80,000.
What’s Next for Bitcoin?
The next few days and weeks are crucial. If the bearish trend continues, funding rates could even turn negative, a strong signal of increased bearish sentiment. For Bitcoin to recover, buyers need to step in and push the price back above key resistance levels. Otherwise, we could see further price drops. The overall economic uncertainty isn’t helping either.
