Bitcoin continues to face pressure in the short term, with prices remaining below critical resistance levels. Although volatility has decreased, various technical indicators hint that the market is nearing a pivotal moment.

Technical Analysis

By Shayan

Daily Chart

Recently, BTC faced rejection at a significant descending trendline that has served as a formidable barrier during its recovery attempts. Each effort to break through this trendline has been met with selling pressure, underscoring its role as a key resistance.

Currently, Bitcoin is positioned within a vital demand zone between $82K and $84K, which has proven to be a stable support area amidst the ongoing decline. This zone continues to buffer against further downward movements at this time.

The overall daily trend shows Bitcoin is caught between descending resistance and strong horizontal support, creating a constrained market scenario. A decisive daily close above the trendline is essential for shifting the momentum toward buyers, while a breakdown below the $82K mark would increase the potential for more substantial corrective movements.

4-Hour Chart

4-Hour Chart

Focusing on the 4-hour analysis, recent movements show diminishing bullish momentum after several unsuccessful attempts to rally. Bitcoin’s price briefly surged along an ascending trendline but was halted near $89K to $90K, creating a lower local high.

The resulting rejection confirmed a false breakout rather than a sustained upward movement. Since then, Bitcoin has continued to create lower highs, maintaining the bearish pressure. If prices remain below the 4-hour descending trendline, any upward attempts are expected to be corrective. A consistent reclaim above $90K would be essential to disprove the bearish trend and open avenues for recovery.

On-chain Analysis

By Shayan

Currently, the taker buy-sell ratio reveals a market skewed towards sell-side pressures. Recent price movements indicate that sell orders consistently outnumber buy orders, suggesting that upward movements are met with distribution rather than solid demand. Even during brief rebounds, this ratio has not maintained to return into positive territory. This behavior points to reactive buying rather than driven demand, reinforcing the sentiment that buyers are hesitant at these levels.

As long as the taker buy-sell ratio stays depressed, Bitcoin’s structure favors either consolidation or further declines rather than a smooth bullish transition.