I just noticed that Bitcoin has risen and fallen significantly over the past week. From $82,700 down to $81,200, nearly a 7-9% loss in just a few days. The entire crypto market is even more intense, with the CoinDesk 20 index dropping 10-12% during the same period. It seems like everyone is panic selling, but the data is interesting to look at.

Glassnode released a report indicating that Bitcoin is consolidating around the $83.4K support level. If this breaks, a further drop to $80.7K is possible. Currently, the price is at $74.67K based on the latest data, so the movement is significant. But here’s the interesting part – community sentiment has reached extreme fear levels. According to Santiment analytics, bearish comments on social media have peaked, and historically, this signals that a recovery is near.

Long-term holders are selling immediately, the fastest since August. But short-term holder supply is still above the capitulation threshold at 19.5%, which means there’s still some stability despite the pressure. Funding rates in derivatives remain weak, so there’s no aggressive buying pressure yet.

Another thing – the Trump administration’s nomination of Kevin Warsh for Fed chair strengthened the USD, which put pressure on crypto prices. But looking at historical patterns in the crypto community, this extreme fear usually precedes a price recovery. So maybe this is the bottom, or we’re close to it. Just waiting to see if support levels hold or break further.