Bitcoin Selling Pressure Drops to $0.5 Billion, Signs of Market Stabilization Emerge
- Significant Drop in Selling Pressure: Bitcoin's weekly realized losses plummeted from $2.4 billion at the end of November to $0.5 billion by late December, indicating a substantial reduction in market selling pressure that could lay the groundwork for future price rebounds.
- Market Stabilization Signals: Analyst Axel Adler noted that the extreme selling pressure of November has been absorbed, with December functioning as an absorption and stabilization phase, suggesting the market may be entering a recovery phase despite the lack of significant price increases.
- Improvement in Net Realized Profit/Loss: Bitcoin's Net Realized Profit/Loss metric showed significant improvement in the last week of December, with the depth of negative values shrinking by nearly half, indicating a structural change in seller exhaustion that may signal market stabilization.
- Price Consolidation Phase: Bitcoin is currently consolidating around $87,600, below the dynamic resistance level of $89,000-$90,000 represented by the 200-period moving average, indicating that the market is still digesting previous selling pressure, with future movements dependent on further weakening of seller strength.
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Technical Analysis for BTC
Technical Sentiment Analysis for Bitcoin (BTC) As of , Bitcoin (BTC) is exhibiting a Sell technical sentiment. Our proprietary analysis, which aggregates 3 technical signals, shows that 0 indicators are flashing buy, while 3 are indicating sell.
Momentum Indicators: RSI, MACD & Overbought/Oversold Status Currently, the Relative Strength Index (RSI) for BTC stands at -, which suggests a Neutral condition. Meanwhile, the MACD (12, 26) indicator is at -, providing a Neutral signal for short-term momentum. Other oscillators like the Stochastic Oscillator at - and the Commodity Channel Index (CCI) at - further confirm a - outlook for the stock.
Support, Resistance & Moving Averages From a structural perspective, BTC is trading below its 60-day moving average of $- and below its 200-day long-term moving average of $-. Key price levels to watch include the immediate resistance at $- and strong support at $-. A break above $- could signal a bull continuation, while falling below $- may test the next Fibonacci floor at $-.
Bitcoin (BTC) Support & Resistance Level
| Name | S3 | S2 | S1 | Pivot Points | R1 | R2 | R3 |
|---|---|---|---|---|---|---|---|
| Classic | 36100.923 | 48050.461 | 60370.943 | 72320.481 | 84640.963 | 96590.501 | 108910.983 |
| Fibonacci | 48050.461 | 57321.609 | 63049.334 | 72320.481 | 81591.629 | 87319.354 | 96590.501 |
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