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Market Analysis – February 6
BTCUSD market structure weakens as sellers regain broad directional control. BTCUSD remains entrenched in a pronounced downside orientation, with overall price behavior closely aligned with a deteriorating trend structure and weakening momentum signals. Price continues to trade below its short- and intermediate-term moving averages, highlighting persistent sell-side dominance and a clear absence of sustained bullish participation. Momentum conditions remain firmly negative, as the MACD is positioned well below its signal reference and continues to expand to the downside, reinforcing the prevalence of distributional pressure rather than temporary mean reversion.
BTCUSD Key Levels
Supply Levels: $85,010, $102,110
Demand Levels: $74,420, $63,260
BTCUSD Long-Term Trend: Bearish
From a structural perspective, price has experienced a decisive breakdown from its former consolidation range around the $92,000–$95,000 zone, confirming a significant erosion of underlying support. The subsequent high-velocity selloff through the $85,000 and $74,400 levels reflects aggressive supply expansion, followed by only a shallow reactive bounce that failed to establish trend continuity. Former demand zones have since transitioned into overhead supply, while the persistence of lower highs and lower lows underscores structural fragility and ineffective demand replenishment.
Looking ahead, BTCUSD may attempt a short-lived relief rally toward the $74,000–$78,000 region, now defined by prior demand turned resistance. Failure to reclaim acceptance within this band would likely reignite downside momentum toward the $69,000 level, with a deeper extension potentially targeting the $63,300 zone. Under a more pronounced risk-off scenario, sustained bearish pressure could compress price further toward the $53,500 area, aligning with deeper range support and reinforcing the prevailing bearish continuation outlook.
BTCUSD Short-Term Trend: Bullish
BTCUSD is exhibiting short-term bullish stabilization after defending the $63,300–$66,800 demand region, with price now recovering above the $69,000 level. Momentum conditions are improving modestly as the MACD begins to curl higher, indicating fading selling pressure and the early re-entry of buyers, a setup that often attracts attention within short-term crypto signals.
Technically, the emergence of higher intraday lows suggests a corrective rebound is unfolding rather than continued capitulation. A sustained move above $69,500 could allow a near-term advance toward the $74,400–$77,800 supply zone before broader bearish forces potentially reassert control.
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