Bitcoin has hit what one analyst describes as a major ceiling after losing the support level that held the market together for months. Following a failed push to $83,000, the analyst now believes that buying Bitcoin at current prices presents more risk than opportunity. Instead, he points to a much lower goal, a level at which buyers can finally take another step into the market with conviction.
Bitcoin’s former support has turned into resistance
The analyst’s outlook centers about the collapse of the $80,500 area, a level that previously served as the backbone of Bitcoin’s trading range for months. During previous pullbacks, buyers repeatedly defended that zone and helped stabilize the price action, allowing the price increases Bitcoin to recover and try new highs. That dynamic now appears to have been reversed.
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After briefly rising to $83,000 in May, Bitcoin failed to maintain momentum and quickly lost momentum. The rejection created what the analyst described as a bull trapwhere buyers came in expecting a breakout, after which the market would reverse sharply lower. Since then, the same price region that once attracted demand has come to function as resistance.
This suggests that buyers who previously defended the territory are exhausted or stepping aside, while sellers are becoming increasingly aggressive on rebounds. According to the analyst, this shift explains why recently recovery efforts have failed to produce conviction and faded quickly.
The collapse also exposed how fragile the structure beneath the market had become. Once Bitcoin Slipped Below the Range Floor, the selling pressure increased rapidlycreating what traders sometimes describe as an ‘air pocket’ – a zone where there is little strong buying interest to slow the decline.
Although Bitcoin is still trading above the mid-$70,000s, the analyst does not believe this area represents a sustainable bottom. Instead, it is seen as temporary support within a broader downside movement that has been developing for months.
Why the analyst is looking at $60,000
The analyst believes that the more attractive entry zone is much lower, specifically between $60,000 and $62,000. That projection is linked to a Fibonacci extension level near $60,000that is being treated as the broader downside target of the collapse structure that began to form earlier this year.
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From the analyst’s perspective, the market has not yet completed its correction. Previous failed rallies Both $97,000 and $83,000 are now seen as signs of weakening momentum and not evidence of longer-term strength.
The expectation now is that any short-term recovery could lead to renewed selling pressure below the breached barrier of $80,500. Not until Bitcoin either convincingly regains that level or drops it in the expected lower demand zone, the analyst sees little reason to aggressively buy the market.
This outlook reflects a growing divide among traders. He advises that, instead of buying at the current price, the better entry point could come as Bitcoin falls towards the $60,000 to $62,000 region, where he expects stronger long-term demand to return.
Featured image created with Dall.E, chart from Tradingview.com