Bitcoin (BTC) Struggles to Hold Ground: Are Bears Gaining Full Control?

• Bitcoin price is holding near the $70.7K mark.
• BTC Fear and Greed Index at 23 hints at extreme fear.

The prolonged geopolitical tensions impact the Bitcoin price, which causes short-term volatility and sharp corrections due to increased risk aversion. It may be followed by rapid recoveries or surges if investors perceive it as a hedge against economic instability. 

Significantly, an early BTC holder has continued offloading a notable portion of their holdings, selling 1,000 BTC worth over $71 million. It was acquired at $332 per coin, and the investor has realised massive profits, totalling around $442 million with a 266x return.  

Such large sales can introduce short-term selling pressure in the market, especially if liquidity is thin. While it may not immediately crash the price, repeated high-volume exits from early holders can weigh on and slow down upward momentum in the near term.

(Source: CMC)

With the Bitcoin Fear and Greed Index settled at 23, in the extreme fear zone, the price is currently trading at $70,723. Besides, the trading volume is up by over 19.68%, reaching $46.66 billion. As per Coinglass data, the BTC market has seen $154.76 million worth of liquidation. 

If the Bitcoin bears gain more traction, the price could fall and test the key $70,428 support. Upon a failure to hold this range, the correction on the downside intensifies, and the death cross might unfold, driving the price below $70,125. Assuming the BTC momentum reverses, the bulls would take the price up to the nearest resistance level at around $71K. As the upside pressure turns potent, the golden cross could emerge, and the price might climb above $71.3K. 

Bitcoin Under Pressure: What Do the Charts Suggest Next?

The Moving Average Convergence Divergence (MACD) line of Bitcoin is below the zero line, but the signal line is above it. This setup gives a mixed outlook. The broader trend is weak, but the recent momentum is trying to shift upward. Also, the market is in transition, not fully committed to one direction.

(Source: TradingView)

In addition, the Chaikin Money Flow (CMF) indicator resting at -0.21 shows noticeable selling pressure in the BTC market. Capital is leaving the asset rather than coming in, as sellers are clearly in control. It often accompanies a downward drift unless the buyers step in and reverse the trend.

Bitcoin’s Bull Bear Power (BBP) reading of -2,737.43 indicates extremely strong bearish pressure. It is pushing the price below its average level, reflecting an intense downtrend and weak buying. As the market is heavily stretched, sudden rebounds can happen.

BTC’s daily Relative Strength Index (RSI) at 36.99 suggests a bearish slide, not deeply oversold yet. Price has been under some pressure, with sellers having the edge, but it is not very strong. If it falls closer to 30, there will be stronger selling, whereas a move above 50 hints at recovery.

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