Bitcoin Price Update: Bearish Trends Persist

Bitcoin is back under $96,000 as the crypto market starts the week on a bearish note. Is a downfall to $90k imminent this week?

Last week, Bitcoin faced massive fluctuations, with a 7-day low at $93,340 and a high at $99,508. Despite these changes, BTC concluded the week at $96,262, marking a surge of 0.14%.

Currently, Bitcoin shows a bearish trend as it begins the week. With an intraday fall of 0.57%, Bitcoin now trades at $95,714. Additionally, last week’s cumulative weekly flow in the Bitcoin ETF remained negative. Will Bitcoin hold above its crucial support near the $94,000 mark, or is a fall inevitable?

Bearish Pressure Intensifies on Daily Chart

The daily chart reveals a significant bearish influence on Bitcoin’s price trend. Currently, Bitcoin is above $95,000 after being rejected from the overhead trend line.

Bitcoin Price Chart

The crucial supply zone near $98,500 and the 50% Fibonacci level are influencing a potential turnaround. With short-term stability near $95,000, BTC’s price trend indicates a possible comeback. The money flow index shows increased inflow as it rebounds from oversold conditions. Currently, BTC prices have surged 0.26% over the past four hours, with multiple low-price rejections around the $95,000 mark.

BTC may soon retest the 38.20% Fibonacci level at $96,703. If a bullish breakout occurs, it will initially challenge the overhead trend line following four bearish reversals, potentially reaching the $98,500 supply zone near the 50% Fibonacci level.

Conversely, breaking local support at $95,000 will test the 23.60% Fibonacci level at $94,393, increasing the likelihood of a quick descent toward the $90k psychological support.

Bitcoin ETFs Witness Massive Outflows

Recent reports from SpotOnChain reveal that U.S. spot Bitcoin ETFs experienced a massive outflow of $552.5 million last week, with losses seen on all four trading days, leading to a nearly 8% drop in BTC prices. This situation produced a weekly Doji candle, signifying market uncertainty.

Will March Trigger a Bullish Comeback for Bitcoin?

Despite the prevailing downward trend, Bitcoin could stage a bullish comeback next month. Historical data from Coinglass indicates significant returns for Bitcoin in March over the past four years. If the bullish trend persists, the coming month might see a breakout above the 50% Fibonacci level, which could lead to additional gains targeting the 78.60% Fibonacci level at $103,393 and the supply zone around $108,000.