Bitcoin (CRYPTO:BTC) has experienced significant downward pressure recently, dropping below key resistance levels after failing to sustain above $70,000.
Currently, BTC is approaching a critical support level at $60,000, which is pivotal for determining its mid-term trajectory.
Technical indicators on both daily and 4-hour charts suggest BTC is oversold, with potential for a short-term rebound or consolidation around this support zone.
However, if BTC fails to hold above $60,000, the next major support around $58,000 could come into play.
On-chain data, such as the Short-Term Holder SOPR, indicates profit-taking among investors, potentially adding to selling pressure if BTC's price continues to decline.