Who Really Sold The Dip? On-Chain Data Exposes Bitcoin’s True Sellers
Bitcoin has retraced to the $85,000 level, a critical support zone that bulls must defend to prevent a deeper breakdown. After failing to reclaim higher levels, price action has slowed and volatility has compressed, reinforcing a market environment dominated by apathy and fear. Structurally, the market has shifted from strong impulsive expansion into a corrective phase. The loss of the 50-week moving average earlier in the pullback signaled a transition from momentum-driven price discovery to consolidation and mean reversion. However, the longer-term trend remains intact as long as Bitcoin holds above the 200-week moving average, currently well below the price.Related Reading
Volume has declined during the retracement, suggesting that selling pressure is not accelerating aggressively. This supports the view that the move is corrective rather than distributive. From a risk perspective, failure to hold the $85K region would open the door to a deeper retrace toward the low-$70K range.
Conversely, reclaiming the $90K–$92K zone would be required to restore bullish structure and momentum on the weekly timeframe.
Featured image from ChatGPT, chart from TradingView.com
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