- Bitcoin lost the key $78,000 realized price support
- HODL Waves data points to a $65.9K-$70.5K bottom zone
- Analysts warn capitulation risks remain elevated for BTC
Bitcoin slipped below a major on-chain support level as traders monitored signs of a deeper correction. The latest Bitcoin data from CryptoQuant and Alphractal suggests short-term selling pressure is increasing after BTC lost the $78,000 realized price level. At press time, Bitcoin traded near $76,566, down 2.11% in the last 24 hours, while analysts warned that capitulation risks may rise if buyers fail to defend nearby support.
Bitcoin HODL Waves Data Highlights Important Support Levels
CryptoQuant analyst Sunny Mom used HODL Waves data to estimate a possible Bitcoin cycle bottom between $65,900 and $70,500. According to the report, the upper part of that range may act as a stabilization zone if market conditions improve gradually.
The analysis comes as Bitcoin struggles to maintain momentum after several failed recovery attempts. On-chain indicators show weakening short-term holder confidence, especially after BTC moved below the realized price level that often acts as a key trend signal during volatile periods.
Alphractal data also showed the market losing its bullish structure on lower time frames. The failure to hold above $78,000 increased the probability of additional downside pressure.
Bitcoin Faces Capitulation Risk After Losing 78K Structure
The recent decline in Bitcoin price reflects fading retail participation and rising uncertainty across the broader crypto market. Market observers noted that weaker inflows and declining risk appetite continue to pressure bullish momentum.
Short-term holders appear to be reducing exposure as BTC trades below critical support. Historically, similar setups have triggered periods of capitulation before stronger accumulation phases emerge. Current price action also shows Bitcoin establishing lower highs and lower lows, which reinforces the near-term bearish outlook.
Analysts believe the next major support zone sits near the low $70,000 range. If BTC fails to stabilize there, traders could see another wave of selling pressure. However, holding above $70,500 may help the market slowly build a stronger base during the coming weeks.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. CoinCryptoNewz is not responsible for any losses incurred. Readers should do their own research before making financial decisions.