The cryptocurrency landscape, particularly Bitcoin ($BTC), has struggled to regain its footing following the significant downturn experienced in October.
As a result of continuous declines, Bitcoin’s value has plummeted to around $70,000, with altcoins facing equally dire circumstances.
According to an analysis from CryptoQuant X, it is evident that Bitcoin is currently entrenched in a bear market that exhibits more negativity than the one observed in 2022.
The analytics firm emphasized that this current bearish phase for Bitcoin is notably worse than what was seen at the beginning of 2022.
CryptoQuant further noted that while this bear cycle began on a weaker note compared to last year’s trends, the pace at which momentum is lost appears to be accelerating rapidly.
At present, CryptoQuant pointed out that $BTC has experienced an approximate decline of 23% over approximately 83 days since it dipped below its 365-day moving average last November.
This drop significantly surpasses the mere 6% decrease recorded during the same timeframe in 2022.
The findings from CryptoQuant suggest that this indicates a more pronounced downward trend occurring within this cycle compared to previous ones.
Additonally, they mentioned that $BTC has breached crucial support levels and may soon retest values between $60,000 and $70,000 again.
“The onset of Bitcoin’s bear market was less robust when juxtaposed with early 2022.”
This technical framework substantiates existing downside risks.
Bitcoin fell beneath its yearly moving average for the first time since March of last year and has since seen a loss of about 23% over these past months following such a dip.
This performance marks a sharper decline than what occurred during early-2022’s bearish period.
“The breach of essential on-chain support levels hints at possible further declines towards ranges between $70k and $60k.”
*This content does not constitute investment advice.