Bitcoin Hovers at $85,000 Amid Bearish Patterns and Low Exchange Activity

The Bitcoin market is at a critical point, hovering above the $85,000 level. This support is both psychological and technical. Recent analysis suggests potential bearish trends for Bitcoin's future.

Key Insights

A descending triangle pattern has formed near the $85,000 support on the daily timeframe, indicating possible bearish continuation.
The Point Of Control (POC) with high traded volume is also near this support, highlighting its significance. A decisive breach could lead to rapid price decline due to liquidation events.
Exchange activity, measured by Bitcoin Exchange Withdrawing Transactions (7-day Moving Average), has dropped to around 5,000, the lowest since 2016.
This drop indicates reduced investor conviction and accumulation behavior, as fewer coins are being moved from exchanges to private wallets.
The data reflects a lack of non-speculative demand, with investors showing signs of skepticism or exhaustion.

If the $85,000 support fails, the absence of buyers might cause a sharp decline in Bitcoin's price. Currently, Bitcoin is valued at $87,410 with minimal movement over the past day.