Bitcoin Approaches Bear Market as Key Support Levels Break: Analysts Warn
As Bitcoin struggles to regain upward momentum, its recent break below critical support levels has analysts speculating about the start of a potential bear market.
Concerns are growing among on-chain analysts due to the high-cost basis of recent Bitcoin buyers. Technical analysts are also noting Bitcoin’s price drop below its 200-day Simple Moving Average (SMA), a key indicator of market trends.
The 200-day SMA, which reflects Bitcoin’s average price over the past 200 days, has now surpassed the current market price, signaling a shift in sentiment. According to some experts, this development may indicate a bearish outlook for Bitcoin.
While the market has not officially entered a bear phase, some analysts suggest that the current trend could lead to further declines, especially if Bitcoin fails to hold above the next major support levels.
