Bitcoin has remained between $59,000 and $60,000 for five consecutive days, but analysts say the consolidation looks fragile because it is occurring within a broader downtrend. A break lower could expose the market to a move toward $40,000.
Bitcoin has remained between $59,000 and $60,000 for five consecutive days, but analysts say the consolidation looks fragile because it is occurring within a broader downtrend. A break lower could expose the market to a move toward $40,000.
That positioning distinguishes the current consolidation from bitcoin’s extended range in 2024. While the earlier pattern developed during a rising market, the latest pause is forming within a decline, making it less indicative of a base for recovery, according to FxPro chief market analyst Alex Kuptsikevich.
Bitcoin traded between $59,000 and $60,000 for a fifth consecutive day, with analysts warning that the apparent stability may mask further downside risk. The range sits below key support levels and the downward-sloping 50-day and 200-day moving averages.
That positioning distinguishes the current consolidation from bitcoin’s extended range in 2024. While the earlier pattern developed during a rising market, the latest pause is forming within a decline, making it less indicative of a base for recovery, according to FxPro chief market analyst Alex Kuptsikevich.
Kuptsikevich said a downside break could leave the next significant level near $40,000. Onchain signals also reflect strain: a CryptoQuant analyst identified signs that some long-term holders are selling at losses, while active-address and transaction activity have remained near the lower end of their recent ranges.
Market sentiment faces additional pressure from Strategy, the largest corporate holder of bitcoin. The company has said it could sell more than $1 billion of its holdings to strengthen its finances after its preferred and common shares came under sharp pressure.
The wider backdrop offers limited support. A stronger U.S. dollar has weighed on dollar-denominated assets, while capital has shifted toward U.S. equities amid optimism over artificial-intelligence spending. Bitcoin was on course to end the second quarter down 13%, reinforcing concern that its narrow range represents a pause in the decline rather than a durable recovery.
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