VT 
Bitcoin continues to face heavy selling pressure, slipping to its lowest levels in half a year although price action now sits at oversold extremes, suggesting the pace of the decline may be slowing. Traders are watching closely to see whether this pause in the selloff marks the beginning of a broader consolidation or simply a breather before the next leg lower.
Risk Appetite, QE Talk and Altcoin Rotation
The downturn of the crypto market has been driven by a combination of risk-off sentiment and institutional outflows, but the intensity of selling has eased in recent days. Market participants are weighing the possibility of quantitative easing measures in Europe and Asia, alongside speculation that the U.S. Federal Reserve could move toward rate cuts in 2026 if inflation continues to cool. These policy shifts have the potential to revive risk appetite, though for now, caution dominates.
Meanwhile, the slowdown in the decline of Bitcoin has reignited debate over whether an altcoin season could emerge. Historically, periods of Bitcoin weakness have sometimes coincided with capital rotation into Ethereum and other Layer 1s. However, with Bitcoin dominance still elevated, the timing of such a shift remains uncertain. For now, gold and other safe-haven assets continue to attract flows, underscoring the fragile state of risk sentiment.
Bitcoin Technical Analysis
BTC/USD remains locked in a bearish structure, with bespoke resistance identified at 91,430. Sellers are expected to defend this zone aggressively, while support levels at 82,260 and 74,835 define the next downside targets.
- Resistance: Around $91,430 to $94,430, with sustained move above $94,430 as breakout trigger
- Support: $82,260 as initial downside target, followed by $74,835 as deeper retracement zone
- Bearish bias: Sell rallies into $91,430 resistance, seek to close position at $82,260 and $74,835. Use a stop-loss above $94,430.
- Bullish setup: Long only if price breaks and holds above $94,430. Use tight stops below $91,430.
- Range play: Trade between $82,260 and $91,430. Accumulate shorts near resistance, cover near support.
Outlook: Bearish Bias Holds, But Watch for Rotation
The Bitcoin slide reflects the lingering impact of the recent crypto selloff, but the slowdown in momentum suggests a potential shift in market dynamics. If global central banks lean toward easing, be it through quantitative measures or rate cutsm risk appetite could recover, opening the door for a rebound in crypto. Traders should also keep an eye on altcoin flows, as any rotation away from Bitcoin dominance could mark the start of a new cycle.
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