Bitcoin (BTC) Has Been Experiencing a Sustained Downtrend Despite Maintaining a Broader Macro-Bullish Outlook

Bitcoin has been experiencing a sustained downtrend despite maintaining a broader macro-bullish outlook. While long-term projections remain positive, short-term weakness suggests BTC may continue to face selling pressure.

Bitcoin has been facing a sustained downtrend despite a broader macro-bullish outlook. While long-term projections for BTC remain positive, short-term weakness suggests the crypto giant may continue to face selling pressure.

Investor behavior has not been particularly supportive, contributing to further uncertainty in the market.

Bitcoin Needs Investors’ Backing

Bitcoin’s apparent demand has taken a significant hit, with spot demand contracting sharply in recent days.

This contraction marks the most substantial decline since July 2024 and the first instance in over four months. The drop indicates a surge in skepticism among investors.

If anything, investors’ pessimism is now at its highest point since June 2024, following Bitcoin’s struggle to break out of a broadening descending wedge.

This pattern usually signals a strong bullish reversal on a macro-timeframe but spells out more short-term weakness for BTC.

Bitcoin’s price, currently at $82,305, is testing the crucial support of $80,000. A breakdown from this level could propel Bitcoin towards the next support at $76,741.

If broader macroeconomic factors worsen, the decline from $80,000 could be even steeper, potentially pushing Bitcoin to test $72,000. Such a scenario would put additional bearish pressure on the crypto market.

However, a shift in investor sentiment could change this trajectory. If we see increased accumulation at the psychological support of $80,000, it could signal a potential bottom in the market.

Bitcoin may regain bullish momentum with a move past the resistance at $82,761. This would pave the way for BTC to test $85,000 and eventually reach $87,041.

Such a development would invalidate the bearish outlook and signal renewed market strength, setting the stage for a potential breakout to new all-time high prices.