Bitcoin Prices at a Delicate Crossroads: Short-Term Reversal Possible Amid Sustained Downward Pressure – 2026-02-01

Market Analysis

The cryptocurrency market is showing some positive movements today, but overall conditions remain cautious and fragile. Uncertainty in the global economy has shaken investor confidence, causing the market sentiment to fluctuate between neutral and bearish.

Bitcoin has experienced significant volatility over the past five days, declining from 88,347 on January 27th to 78,741 by January 31st. The 7-day Relative Strength Index (RSI) has been steadily falling, now reaching 14.9, which is near the oversold territory and indicates increasing selling pressure. Similarly, the 14-day Money Flow Index (MFI) stands at 27.88, suggesting a reduction in financial inflows. Prices are approaching the lower boundary of the Bollinger Bands, hinting at a potential short-term reversal, although the overall trend remains weak.

Looking at moving averages, the Hull Moving Averages (HMA) for 7, 14, and 21 days are all trending downward, with the latest closing price below the 7-day HMA of 80,271, signaling a clear bearish momentum. The 50, 100, and 200-day moving averages are significantly above current prices, further underscoring medium to long-term downward pressure. Support levels near S1 (78,595–76,322), combined with the key psychological support at 75,000, could provide some short-term stability. However, if these supports fail, the price may drop toward the next support zone of S3 (68,507–68,010). Resistance is expected around R1 (79,163–81,500) and R2 (83,680–84,850), with the 80,000 level serving as a critical psychological barrier.

The Fear and Greed Index hovers around 20, reflecting a state of market fear, though not extreme panic, indicating that investors are cautious but not completely fearful. Open interest has decreased by 4.08%, and a slight positive financing rate suggests a reduction in short positions, yet overall sentiment remains negative. The ongoing uncertainty in global economic conditions—particularly trade tensions between the U.S. and China and the sluggish European economy—has heightened investor hesitation, adding downward pressure on Bitcoin’s price.

In summary, Bitcoin’s market is at a delicate juncture where a short-term rebound is possible, but the fundamental trend remains bearish. Maintaining current support levels could bring some stability; otherwise, further declines are likely. Investors should exercise caution and closely monitor both technical indicators and global economic developments to make informed decisions.

Data Summary

• 1. Time:
  2026-02-01 – 00:00 UTC
• 2. Prices:
  Open: 84260.50000000
  High: 84270.02000000
  Low: 75719.90000000
  Close: 78741.09000000
• 8. Supports:
  S1: 78595.86000000 – 76322.42000000
  S2: 68507.67000000 – 68010.00000000
  S3: 67969.6 – 66034.5
• 9. Resistances:
  R1: 79163.24000000 – 81500.00000000
  R2: 83680.12000000 – 84850.33000000
  R3: 87232.01000000 – 88175.98000000
  R4: 90375.2 – 93673.1
• 10. Psychological Support:
  75000.00000000
• 11. Psychological Resistance:
  80000.00000000
• 3. Last 5 days’ closing prices:
  2026-01-27: 89250.00000000
  2026-01-28: 89299.99000000
  2026-01-29: 84650.16000000
  2026-01-30: 84260.49000000
  2026-01-31: 78741.09000000
• 4. Volume:
  BTC: 39491.8913
  USD: $3155264093.6230
• 5. Number of trades:
  7384976
• 6. Indicators:
  RSI: 14.9000
  MFI: 27.8800
  BB Upper: 98904.69000000
  BB Lower: 81549.61000000
• 7. Moving Averages:
  SMA:
  7=85888.45000000
  14=88127.93000000
  21=90227.15000000
  30=90604.69000000
  50=89483.51000000
  100=93452.90000000
  200=104155.74000000

  EMA:

  7=85032.48000000
  14=87328.74000000
  21=88399.24000000
  30=89109.59000000
  50=90320.88000000
  100=93975.42000000
  200=97775.32000000

  HMA:

  7=80271.38000000
  14=84256.30000000
  21=84691.06000000
  30=86286.50000000
  50=89983.01000000
  100=89681.90000000
  200=83730.36000000
• 12. Funding Rate:
  0.0066%
• 13. Open Interest:
  102164.4870
• 14. Fear & Greed Index:
  20 (Extreme Fear)

Disclaimer: This market analysis is generated by AI based on historical BTC data and sentiment indicators. Use it as a reference, not financial advice.