Bitcoin slipped 0.9% over the past 24 hours to $69,828.84, lagging behind a broader crypto market that itself showed modest weakness. The decline unfolded as part of a macro-driven risk-off move, with Bitcoin tracking the S&P 500’s 0.36% drop with striking precision—a correlation coefficient of 0.8909 underscoring how tightly the two assets moved in tandem. This synchronization reveals Bitcoin’s current vulnerability to traditional market sentiment, behaving more like a liquidity-sensitive risk asset than an independent store of value amid concerns over interest rates and tightening financial conditions.
The selling pressure intensified after Bitcoin tested resistance near $71,210, where it encountered firm rejection. Price action subsequently broke below the 7-day simple moving average at $70,476, a move validated by a 26% surge in trading volume to $50.78 billion. This volume spike confirmed genuine distribution rather than shallow profit-taking, while the failed rally established a near-term resistance zone that could cap upside momentum. Technical structure now points to the 78.6% Fibonacci retracement level at $69,129 as immediate support beneath current prices, with the 30-day simple moving average at $70,250 representing the key level bulls must reclaim to alleviate short-term bearish pressure.
Looking ahead, Bitcoin faces a narrow trading corridor defined by critical technical levels. Immediate support rests at $68,665, yesterday’s low, which must hold to prevent acceleration toward $67,000. A successful defense of this floor could allow for consolidation in the $68,600–$70,250 range. Complicating the picture, open interest in perpetual futures contracts surged 17.3%, signaling fresh leveraged positioning that may amplify volatility in either direction. With no major catalysts scheduled in the immediate term, price action will likely remain tethered to macro flows and equity market sentiment until a meaningful decoupling occurs.
The near-term bias remains cautiously bearish while Bitcoin trades below $70,250, though the presence of a well-defined support level provides traders with a clear risk parameter. The critical watchpoint in the coming sessions will be whether Bitcoin can stabilize above $68,665 and begin to decouple from equity market weakness—a shift that would signal a return to crypto-native price drivers and potentially set the stage for renewed upside momentum.
Source:: $68,665 or Bust: Bitcoin’s Make-or-Break Support Level in a Liquidity Squeeze