Bitcoin's price has seen a significant drop from its consolidation above $60K, causing panic among investors. The daily chart shows a large descending channel pattern since March, with the price aggressively dropping towards the $52K support level. The 200-day moving average is also trending around the $50K mark, potentially Bitcoin's last resort in case of a deeper decline.
On the 4-hour timeframe, the price was rejected from the channel's midline a few days ago, creating lower highs and lows. However, the Relative Strength Index has entered the oversold region, indicating a potential short-term rebound towards $60K before a possible continuation lower towards $52K.
On-chain analysis shows that the Exchange Whale Ratio has recently increased significantly, suggesting that whales have been rapidly depositing their coins in exchanges to potentially sell them. This pressure is likely contributing to the recent correction. However, the correction is expected to stop if the whale ratio declines. Despite the current market volatility, the long-term outlook remains optimistic.