Bitcoin’s Breaking Point: BTC Below This Price Would Signal Bear Market

Core Insights - Bitcoin price has experienced significant losses recently, indicating a bearish market environment and raising concerns about a potential bear market structure ahead [1] - The Short-Term Holder (STH) cost basis is currently at $111,400, and trading below this level could lead to deeper downside pressure [2] - A decisive break below the cost basis may confirm bearish momentum, potentially resulting in a larger drawdown for Bitcoin and delaying recovery across the crypto market [3] Market Sentiment - There has been a notable increase in "buy the dip" mentions on major platforms, reaching the highest activity level in 25 days, suggesting growing optimism among retail traders [4] - Historically, Bitcoin tends to move against crowd expectations, and if optimism remains high around $112,200, the market may face further downsides [5] Price Action - As of the latest data, Bitcoin is trading at $112,960, slightly above the $112,500 support level, after slipping from $115,100 to an intra-day low of $111,478 [6] - Maintaining the $111,400 STH cost basis and securing $112,500 as support could allow Bitcoin to bounce back towards $115,000, preventing a bear market structure [7] - Renewed selling pressure could push Bitcoin below $112,500 towards the $110,000 support, invalidating the bullish thesis and marking the onset of bearish momentum [8]