A Double Bottom Will Be Formed in the 1D Timeframe, with a Potential Short-term Rebound

Summary:

Recent declines in Bitcoin are primarily influenced by expectations surrounding U.S. dollar monetary policy and ongoing institutional capital outflows, with the price currently approaching the 80,000 support level. A short-term rebound trend may be imminent.

BUY BTC-USDT

Close Time

CLOSED

82766.9

Entry Price

89000.0

79000.0

63107.2 +216.1 +0.34%

3766.9

Pips

Loss

79000.0

78980.1

Exit Price

82766.9

Entry Price

89000.0

Fundamentals

Bitcoin continued its intraday decline today, with prices slipping from 85,000 to around 83,000, exhibiting oscillations. Short-term market volatility was primarily driven by a dual impact: expectations surrounding U.S. Federal Reserve chairman appointment and fluctuating institutional capital flows. Discussions about the Fed chair candidate and intermittent outflows from ETFs collectively suppressed risk asset demand, exerting downward pressure on Bitcoin and testing key support levels.

On the macro and institutional fundamental front, this week's asset rebalancing was influenced by macroeconomic and regulatory developments. Foremost, speculations about the Fed's future leadership and its inclination towards hawkish or dovish policies impacted liquidity expectations—if the incoming chair adopts a tighter stance, liquidity tightening could dampen demand for high-risk assets, exerting downward pressure on Bitcoin. Reuters reports indicated that guesses about the next Fed chair directly triggered today's sell-off. Additionally, the established spot Bitcoin ETF channels since 2025 continue to influence market dynamics, but fund flows have been non-linear: recent phases saw net outflows amid volatile institutional allocations, making prices more susceptible to significant retracements in response to news fluctuations. Analysis shows that ETF and institutional liquidity remain the decisive external variables influencing current price volatility.

Furthermore, on-chain dynamics and exchange order book supply and demand are influencing short-term market structures: reports indicate net outflows from certain centralized exchanges, suggesting institutional or large holder retreatment without rapid bottom-fishing; however, long-term investors and some institutional players exhibit willingness to accumulate on retracements, indicating that the fundamental demand base remains partially resilient. Overall, the current market sentiment resembles a pendulum swing between liquidity-driven trading and reallocation mood, lacking a clear overarching catalyst for directional movement.

Technical Analysis

A Double Bottom Will Be Formed in the 1D Timeframe, with a Potential Short-term Rebound_1

In the 1D timeframe, Bitcoin experienced a dip below the 80,000 level today, followed by a rapid rebound, indicating strong support at this zone. This level is near the lows established in November 2025, and the candlestick pattern suggests the potential formation of a double bottom. If the closing price exceeds 80,000 today, the double bottom pattern will be confirmed, signaling a short-term technical correction and potential rebound.

Currently, key support is identified at the 80,000 level; a breach below this could open further downside potential toward 75,000. Resistance in the short term is formed by the recent high points of the moving averages, approximately in the 88,000 to 92,000 range. Stabilization above this zone would be necessary to re-establish the medium-term bullish trajectory.

Regarding technical indicators, the RSI shows that the market has entered oversold territory, increasing the likelihood of a short-term rebound.

Trading Recommendations

Trading Direction: Buy

Entry Price: 82000

Target Price: 89000

Stop Loss: 79000

Valid Until: February 13, 2026 23:00:00

Support: 80000, 75000

Resistance: 88000, 92000

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