Catenaa, Sunday, November 23, 2025- Bitcoin shows signs of entering a bear market after recent technical indicators and market data point to sustained selling pressure.
The top cryptocurrency fell nearly 14% over the past week to around $91,600, marking the first weekly close below its 50-week moving average since October 2023.
Analysts note a death cross, where the 50-day moving average dropped below the 200-day moving average, signaling weakening short-term momentum relative to the long-term trend.
On-chain data reinforce the bearish outlook, with eight of ten key metrics showing red, while derivatives and options activity indicate traders are betting on further declines.
Open interest in Bitcoin derivatives has increased, while put-buying activity highlights investor demand for downside protection.
Market analysts link the sell-off to risk-averse sentiment spilling over from traditional markets, particularly profit-taking in overvalued AI-related tech stocks.
Increased trading volumes and liquidations in derivatives markets reflect mounting pressure, with potential long squeezes if buyers are forced to sell.
Despite these signals, analysts expect a short-term rebound if Bitcoin stabilizes above $100,000.
Recovery to a confident growth pattern would likely require a close above $105,000, supported by dovish Federal Reserve policy and strong US economic data.
Until then, selling momentum is expected to dominate.
Bitcoin’s decline underscores growing correlations between cryptocurrency and broader financial markets, highlighting investor sensitivity to macroeconomic trends and risk-on assets.
