BTC experienced its worst week since Trump's victory in early November.
TL: DR;
After several weeks of significant increases, BTC prices fell from high to low last week, totaling a 15% drop, with no noticeable rebound.
The crowd has entered a state of complete fear, uncertainty, and doubt (FUD), which could actually be beneficial for Bitcoin's upcoming price trends.
Does the crowd suggest a recovery?
Just six days ago, this major cryptocurrency surged above $100,000 and at one point reached a historic high slightly above $108,000. This brought the increase since Trump's victory to about 60%. However, the situation changed on Wednesday after Federal Reserve Chairman Jerome Powell made hawkish comments about reducing interest rate cuts in 2025.
This is the worst week for BTC trading since Trump's victory, with the cryptocurrency falling 15% from the aforementioned high to $92,000. Although it has successfully reclaimed some ground, it has not rebounded in a manner similar to previous corrections and is currently struggling to maintain above $95,000.
According to cryptocurrency analytics platform Santiment, this prolonged adjustment has caused panic in the market, as overall sentiment 'has fallen to the most negative statistical point of the year'. However, the report suggests that this could be a blessing in disguise for BTC, as the asset's movements often contrast with retail investors' expectations.
BTC buy signal?
Cryptocurrency analyst Ali Martinez pointed out that due to a correction in the TD sequence on the 4-hour chart, BTC may signal a 'buy'. This indicator can identify weakness in either direction and typically accurately points to the beginning of a reversal.
Martinez further suggested key support areas for Bitcoin that could drive the asset to surge again. However, if it falls below the lower range, BTC could drop significantly to around $70,000, as there is not much support between the two. The cryptocurrency is currently at the lower end of the key support level, ranging from $97,041 to $93,806.
In fact, the asset fell below the latter during the night, but at least for now, it has successfully rebounded.
