Bitcoin is under heavy selling pressure, with analysts warning of a potential crash below the psychologically critical $60,000 support level. The caution is amplified by a dramatic decline in spot trading volumes, which hit their lowest point since October 2023, signaling a broad retreat in market participation.
Key support at $70,000 lost: Crypto analyst Tony Research noted that Bitcoin failed to hold the crucial $70,000 zone, triggering a bearish breakdown. He explained that BTC had already corrected from the 0.618 Fibonacci level and the 200-day Moving Average, breaking out of a long-term ascending channel that had been forming all year. The chart now shows Bitcoin trading below the Ichimoku Cloud—a powerful bearish signal that Tony Research believes could precede Bitcoin’s “largest price crash yet.”
A short lifeline, then a deeper fall: The analyst forecasts a short-term relief bounce from around $67,000 to $74,000 before a plunge toward new lows. His downside targets lie between $56,000 and $54,000, suggesting that once this decline runs its course, a final bottom may be established. However, he warns that expecting a bull market at this stage would be “foolish.”
Immediate test at $60K: At press time, Bitcoin traded near $60,842, down over 4.5% in 24 hours. The $60,000 level is now the most important area on the chart. A decisive breakdown could expose support between $54,800 and $52,700, with some technical projections pointing to $49,900 as the next major psychological floor. Traders are also watching for a possible “failed breakdown” scenario—a quick drop below $60K followed by a sharp recovery—which could trap bearish positions and spark a temporary rally. Technical momentum oscillators show deeply oversold conditions (RSI around 15), but moving averages remain firmly bearish, with short-term averages clustered between $68,000 and $76,000.
Volume collapse and ETF weakness: CryptoQuant data reveals that monthly spot trading volume fell to roughly $680 billion, a 67% decline from the $2.6 trillion peak, marking the lowest level since October 2023. This liquidity drain makes the market more vulnerable to sharp moves. The iShares Bitcoin Trust ETF (IBIT), a major institutional vehicle, is also under pressure, trading near multi-month lows and mirroring BTC’s technical weakness. The combination of thinning volumes, bearish technicals, and fading ETF demand underscores the cautious market outlook.
