Bitcoin Price Drops Over 2% to $96.2K Amid Bearish Sentiment
Bitcoin's price dropped over 2% in the past 24 hours, closing at the lowest level since January 15, 2025. It fell to a low of $94.8K before rebounding slightly to approximately $96.2K.
Key points include:
- Since President Trump's second term inauguration, Bitcoin has been in a downward trend.
- Resistance levels between $108K and $109.3K are proving difficult for buyers to penetrate.
- A potential double top pattern formed around $108K with bearish divergence on the weekly Relative Strength Index (RSI).
- Strong support exists above $91K, previously retested; if breached, further decline could reach the $75K-$85K range.
Market Sentiment
Macroeconomic uncertainty and tariff wars have dampened bullish outlooks. Demand from whale investors remains low, with U.S. spot BTC ETFs experiencing significant outflows. Recent data shows:
- Net cash outflow of over $242 million from U.S. spot BTC ETFs in two days.
- Only BlackRock's IBIT saw a net inflow of about $23 million on Tuesday.
- Overall supply of BTC on centralized exchanges increased from 2.13 million to 2.22 million in the past week.
Future Outlook
Despite rising discussions about Bitcoin and altcoins on social media, investor sentiment remains cautious. Analyst Ali Martinez suggests it is not an optimal time to buy Bitcoin, noting current funding rates are positive, while historically best buying opportunities arise when they turn negative.
The anticipated adoption of Bitcoin by nation-states could lead to significant supply-demand shocks, potentially shifting market sentiment positively.