BTC Bounce Sparks Risk
Bitcoin has recently bounced about 9%, signaling a short-term recovery after recent losses. However, analysts warn that this bounce may be masking underlying weakness, as certain technical indicators point to sellers regaining control of the market.
Despite Price Bounce** The recent price increase has been accompanied by a surge in unrealized profits, which historically signals potential profit-taking pressure. Combined with indicators showing hidden bearish divergence, these factors suggest that sellers could return and push prices lower again.
Bitcoin is now testing a critical support zone near $66,270. If this level breaks, analysts say the next significant downside target could be around $58,000, indicating the potential for a larger correction. On the upside, reclaiming higher resistance levels would be needed to shift market sentiment back to bullish.