Bitcoin Dips Below Key Support, Rebound Still Possible
Key Takeaways
- Bitcoin has fallen below a key CME price gap – a technical signal that could impact future price movements.
- The former demand zone has turned into a supply zone, which could create additional short-term downward pressure.
- However, technical indicators such as the RSI (Relative Strength Index) suggest a potential recovery.
- Stablecoin inflows and declining Bitcoin reserves on exchanges indicate ongoing buying interest.
What Is a CME Gap and Why Does It Matter?
CME stands for Chicago Mercantile Exchange, one of the largest futures exchanges in the world. Bitcoin is traded there as a futures contract. Since the CME is closed on weekends, so-called “gaps” can occur – that is, price differences between Friday’s closing price and Monday’s opening price.
These gaps are considered important technical zones by traders. The price often returns to “fill” the gap. This can act as support or resistance – depending on whether the price is approaching from above or below.
Current Development: Demand Zone Turns Into Supply Zone
Bitcoin recently fell below the CME gap, which previously acted as a demand zone. This means: investors were buying there, which supported the price. Now the picture has changed. The same zone now acts as a supply zone – in other words, resistance.
Specifically: the price dropped to around $83,000 USD. A short-term bounce back to about $83,140 USD is possible. If this fails, Bitcoin could drop further to the next support level at $81,200 USD.
Technical Indicators: Still Bearish, but Recovery Possible
Two key technical indicators provide insight into the current trend:
- Relative Strength Index (RSI): This is near the oversold zone. That means: selling pressure has been high recently, and a rebound to the upside could be imminent.
- Accumulation/Distribution: This indicator measures the ratio of buying to selling volume. Currently, it shows a selling phase – confirming the short-term bearish trend.
If the RSI reaches the oversold area and the support at $81,200 USD holds, this could trigger a technical recovery. A potential price target would then be $88,000 USD – an increase of approximately 9.5%.
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Stablecoin Inflows and Declining Exchange Reserves
Despite current weakness, there are also bullish signals. In the past 24 hours, around $1 billion USD in Tether (USDT) was injected into the market via the TRON network. Such inflows indicate a willingness to buy.
At the same time, Bitcoin reserves on centralized exchanges have dropped to 2.41 million – a new low. This shows that many investors are moving their coins into private wallets, suggesting long-term holding intentions. A lower supply on exchanges reduces selling pressure and can help stabilize the price.
Our Assessment
In the short term, Bitcoin remains under pressure. The transformation of the CME gap into a supply zone and current technical indicators point to further downward movement. A drop to $81,200 USD is realistic.
At the same time, stablecoin inflows and falling exchange reserves show that confidence in Bitcoin remains intact. If the RSI enters the oversold zone and support holds, a recovery is likely.
What this means for you as an investor: closely monitor the $81,200 USD level. This could present a good entry opportunity – provided the technical signals confirm a trend reversal. In the long term, the market remains bullish, even though short-term pullbacks cannot be ruled out.
| Symbol | BTC |
| Coin type | Alt Coin |
| Transaction Speed | Slow |
| Pros |
|
| Cons |
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| Further practical applications | |
| Price | $86,925.00 |
| 24h % | 3.16 % |
| 7d % | 2.14 % |
| 30d % | 3.22 % |
| 60d % | -10.79 % |
| 1y % | 33.65 % |
| Market Cap | $1,726,392,184,420.00 |
| Max. Supply | 21,000,000.00 |
| Official Links | Website | Whitepaper | Source Code |
| Socials | Reddit | X | Message Board |
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