Bitcoin's correction has intensified over the past week, with the price dropping sharply to around $65,000 after breaking through several critical support levels. The decline pushed BTC below its daily ascending channel and the $70,000 support zone, exposing deeper demand areas.
Technical Breakdown on the Daily Chart
On the daily timeframe, Bitcoin has broken below the lower boundary of the ascending channel that guided its recovery from the June lows. This breakdown followed a rejection from the $80,000 zone in early November. The price has also slipped below both the 100-day and 200-day moving averages, positioned around $78,000 and $73,000 respectively—notable because these averages produced a bullish crossover only in early October.
The $70,000 zone, which marks the base of the sharp August rally, now represents former support that could act as resistance on any relief bounce. To invalidate the current breakdown, buyers would need to reclaim $70,000 and then the $73,000 region, where the channel's lower boundary and the 200-day moving average converge.
If selling continues, the next demand zone sits around $63,000, where the price consolidated during August before the breakout. The $60,000 region, which formed the June-July lows, represents a more significant floor. A decisive daily close beneath it would effectively erase the recovery structure of the past five months.
Shorter-Term Pressure on the 4-Hour Chart
On the 4-hour chart, Bitcoin has been trading within a descending channel since a late-September rejection from the $86,000-$87,000 supply zone. The latest attempt to break above the channel's upper boundary was rejected around $81,000 in early November, followed by aggressive selling.
The decline first broke the channel's lower trendline and the $76,000 demand zone before accelerating through $70,000. BTC briefly approached $65,000 and is consolidating around $65,500, with buyers showing only minor reaction so far. Any relief bounce would likely encounter resistance at $70,000, which sellers could defend as supply. Until BTC reclaims $70,000, the short-term structure remains bearish.
On-Chain Loss Signals
The Adjusted Spent Output Profit Ratio (aSOPR) metric measures whether coins moved on-chain are being sold at a profit or loss. Readings above 1 indicate profit-taking, while values below 1 suggest loss realization. The indicator stayed above 1 for most of 2025, peaking near 1.07 during the late-2024 rally before dropping below 1 in early 2026 as BTC fell toward $60,000.
After recovering to around 1.013 in October, the 30-day exponential moving average has now fallen back below 1, currently near 0.995. This shift suggests recent buyers are selling at losses—a condition that has often coincided with local bottoms as selling pressure exhausts. However, a sustained move back above 1, combined with a reclaim of $70,000, would represent a more convincing signal that the selling phase is easing.
