Market pressure on Bitcoin reaches a critical point: Where is the barrier for the largest cryptocurrency?

The analysis indicates a delicate balance prevailing in the Bitcoin market. CryptoQuant’s expert assessment suggests that if the price of the largest digital currency drops below the $85,000 zone, we may witness a significant increase in sell-off scale. A surprising discovery was revealed by Axel Adler from the analytics team - the Net Pressure Tilt indicator, which characterizes the ratio of forces between buyers and sellers in the short term, has reached only 5%, the lowest recorded in the past three years.

What do the current readings mean?

The phenomenon of equilibrium between demand and supply, although it may seem stabilizing at first glance, has historically been short-lived. Retrospective data shows that such states usually destabilize quickly, opening the way for directional price movements. The 24-hour moving average of the Net Pressure indicator is currently 4.79, while Bitcoin is trading around $91,550.

To strengthen the perspective - the three-year median of this measure is 73.17. This fact demonstrates that, in the long term, selling pressure has historically shown greater dominance in markets in an upward phase. The calculation method of the indicator is based on a weighted difference between selling and buying pressure. Positive results indicate seller dominance, while negative results point to buyer leadership.

Warning of a bear scenario

According to Adler’s analysis, the turning point will come if the price drops below $85,000 - a situation that could lead to a decrease in Net Pressure below the -15 threshold. Such a development would suggest an acceleration of selling pressure and the possibility of more violent price corrections.

The current Bitcoin price configuration, which remains about 13.9% below the average entry cost of short-term investors over the past two months, suggests that this segment is incurring significant losses. This situation is interpreted by analysts as a clear signal that the market is entering a bear phase. Although the balance between buying and selling seems to prevail among short-term traders now, many indications from previous cycles suggest that such moments smoothly transition into dominance of selling pressure, especially after short-term upward breakouts.