Recent fluctuations in Bitcoin's price have sparked debate about whether the cryptocurrency has already entered a bear market.
Analyst Ali Martinez provided an in-depth analysis based on technical indicators and network data, suggesting that Bitcoin may be entering a correction phase, but may find support factors to help it recover.
Signs of Weakening Momentum:
Martinez notes that the ETF (Earnings-to-Exchange Liquidity Flow Index) shows Bitcoin entering a correction phase, with the currency experiencing a 23% decline from its peak of over $109,000 in January.
The MVRV ratio also turned negative, a traditional sign of market weakness.
Additionally, the data showed that miners sold over $27 million worth of Bitcoin, while whales dumped over $260 million, increasing selling pressure.
New capital inflows into Bitcoin also declined sharply, from $135 billion in December 2024 to just $4 billion by mid-March 2025, reflecting a slowdown in demand.
Critical Support Levels:
Despite the negative signals, Martinez identified the $66,000-$69,000 range as a strong support area, with 750,000 investors purchasing 313,000 Bitcoin around $69,000.
The same analyst also noted that $93,700 represents a potential rebound point, which could push Bitcoin to $111,000 if it is recaptured.
In parallel with these analyses, Bitcoin experienced a 4% recovery to $85,000 following the Federal Reserve's decision to keep interest rates steady, which could indicate a positive short-term market response.
