Currently trading around $89,074, the has experienced its steepest weekly decline since last July, plummeting 14.7% to $82,000 this week and reflecting a 20% drop over the past month. This Bitcoin price downturn has been primarily linked to significant ETF outflows, leading to over $1.5 billion in liquidations.
In addition, this drop in Bitcoin price has caused a bearish breakout of a 15-week consolidation phase that has kept BTC quite steady since late last year. Consequently, the Crypto Fear & Greed Index dropped to 10%, which reflects extreme fear in the market, a level of sentiment last witnessed in August 2023.
Technically, the price of Bitcoin is now close-term resistant at $89,400, with the psychological price level of $80,000 potentially acting as a floor of support should selling persist. Both the daily and 4-hour RSI figures have moved from an oversold level to bear territory, indicating the potential for downside Bitcoin price action unless buying can be sustained above $86,000.
