Bitcoin (BTC) Drops 3% to $83,875, Facing Bearish Pressure, with Key Support at $78K. A Break Below May Push BTC Further Down to $74K.

After teasing a possible shift to bullish sentiment in the past three days, Bitcoin's (BTC) price has dropped around 3 percent in the last 24 hours to trade at about $83,875

Bitcoin (BTC) price dropped around 3 percent to trade at about $83,875 on Friday, March 21 during the mid-London session. The flagship coin was rejected at a falling logarithmic trend in the daily time frame signaling further bearish trends in the near term.

Since March 10, Bitcoin price has been forming a bearish continuation pattern. Moreover, BTC price already confirmed a macro reversal pattern after rebounding from a neckline of a double-top, which was coupled with a bearish divergence of the Relative Strength Index (RSI).

In the near term, Bitcoin price will likely drop another 10 percent to retest the support level around $78k. If the Bitcoin buyers fail to defend the $78k support level, further selloff towards $74k will be imminent.

The short-term bearish trend will be invalidated if Bitcoin price consistently closes above the daily logarithmic falling trend line.

Bitcoin Whales Focused on Long-Term Growth

According to on-chain data analysis, whale investors have been accumulating more Bitcoins in the past few days regardless of the short-term bearish outlook. As Coinpedia reported, BlackRock’s (NYSE:BLK) IBIT has led other spot BTC ETF issuers in renewed cash inflows during the past few days.

On Thursday, the U.S. spot BTC ETF issuers recorded a net cash inflow of about $165 million, whereby the majority came from IBIT of about $172 million. Bitwise BITB recorded a net cash outflow of about $17 million.

Nonetheless, the U.S. spot Bitcoin ETFs are about to end the largest losing streak of five weeks if today’s flow ends positively.

Worth noting that the U.S. spot Bitcoin ETFs recorded a cumulative total net inflow of about $35.9 billion, thus currently holding total net assets of around $94.4 billion.