Bitcoin is still trading around $60,000 after a violent week that sent the asset close to its lowest levels since late 2024. The weekend was relatively calm. Even with renewed tensions in the Middle East, BTC did not see a fresh wave of panic selling.
Earlier in the week, Bitcoin climbed to about $65,500 after reclaiming support near $64,000. That rebound faded quickly. Sellers then pushed the price below $62,400, toward $59,000, and later close to $58,000. Bulls are still defending the broader $60,000 area, but the market has not produced a clear directional signal.
Price remains trapped between key support and resistance
The current setup leaves Bitcoin stuck inside a narrow but important range. A break below $58,000 could open the door to heavier selling, while a recovery through $64,000 to $66,000 would suggest that buyers are taking back control. For now, the chart looks more like a contested range than a confirmed trend reversal.
Analyst Market Watcher said the weekly structure still points to a downtrend extending from the July and August highs near $70,000 and $67,000. In that view, capital deployment only becomes more attractive if Bitcoin can break that trend line decisively. The analyst described the current environment as “indecisive summer chop” between roughly $59,000 and $66,000, which matches the present market: BTC has not fully broken down, but it has also failed to reclaim momentum.
Strategy remains a pressure point for sentiment
Another source of pressure is Strategy, the company formerly known as MicroStrategy. Because it remains the largest corporate holder of Bitcoin, concerns around its capital structure continue to weigh on market sentiment. Earlier, when Bitcoin fell below $60,000 for the second time in June, liquidations rose above $850 million, while traders closely tracked Strategy shares, preferred stock, and its Bitcoin treasury.
One report argued that Strategy’s Bitcoin “flywheel” is now working in reverse. The company had relied on a stock premium to raise capital and buy more BTC, but weaker market pricing has made that model harder to maintain. CryptoQuant has also called on the firm to pause Bitcoin purchases and rebuild cash reserves, noting that dividend coverage tied to STRC had dropped to about 14 months. That does not mean Strategy must sell Bitcoin now, though the market is clearly watching whether added stress in STRC or MSTR could deepen concern around BTC.
On-chain data shows signs seen near accumulation zones
On-chain metrics are not entirely bearish. CryptoQuant analyst Crazzyblockk said short-term holder realized dominance has fallen to 27.6%. Historically, that level has been associated with undervaluation zones, where long-term holders control most of the realized capital.
In previous cycle tops, short-term holders tended to command a much larger share of realized capital, reflecting heavy speculation and late-stage buying. Bear market phases have usually shown the opposite pattern: short-term holders realize losses, their share falls, and long-term holders regain control. Based on that framework, the analyst said the present structure looks closer to earlier accumulation phases than to a cycle top. Still, the analyst also warned that market bottoms often take time and may include another capitulation event.
Another CryptoQuant analyst, Facundo Fama, highlighted long-term holder SOPR. When LTH-SOPR moves near or below 1, long-term holders are selling coins at or near a loss. The last time this indicator stayed below 1 on the monthly chart for more than three months was in October 2022, when Bitcoin traded near $20,000. The signal does not confirm a bottom on its own, but it shows that long-term holder stress has returned to a rare area.
Traders are watching whether $58K can keep holding
Bitcoin is not in a confirmed breakdown, and it is not in a confirmed reversal either. The calm around $60,000 depends on support at $58,000 staying intact, Middle East tensions remaining contained, and Strategy-related fear not intensifying again. If BTC can reclaim the $64,000 to $66,000 zone, the market would have a stronger case for a broader recovery attempt.