Bitcoin’s price has retreated toward the $60,000 support level after failing to overcome significant resistance. Market analysts note that despite a minor bounce from this demand zone, the asset shows no convincing signs of a trend reversal and remains within a broader bearish structure. Derivatives data indicates a shift toward negative funding rates, reflecting increased short positioning and cautious sentiment among traders.
Bitcoin’s recent volatility pushed its price back toward a critical $60,000 demand zone. Although buyers triggered a modest bounce there, the market has yet to show convincing signs of a trend reversal.
On the daily timeframe, Bitcoin is struggling to reclaim the channel’s mid-trendline at $68,000, which acts as a firm dynamic resistance. Multiple failed attempts to push above this boundary reinforce the presence of sellers and confirm the broader bearish structure remains intact.
The asset recently broke below a symmetrical triangle pattern on the 4-hour chart, signaling short-term seller dominance. This breakdown invalidated the prior compression structure and accelerated downside momentum.
Bitcoin has since found support near the $62,000 zone, where demand has temporarily stabilized the decline. A minor rebound is underway, with potential for a short-term pullback toward the underside of the broken triangle trendline.
Funding rates across exchanges turned negative following the latest sell-off, reflecting increased short positioning. The spike in negative funding during the sharp drop suggests aggressive short exposure entering the market as the price approached the $60,000 region.
Historically, sustained negative funding can create conditions for short squeezes if the price stabilizes. At present, funding appears moderately negative rather than extreme, indicating bearish sentiment has increased but the market is not yet at capitulation levels.
