Bitcoin has struggled over the weekend, wiping out gains from its previous rally, but analysts suggest that a bottom may be forming.
The asset is still trading within a sideways range that has lasted nearly two months, following recent declines that briefly pushed it below 66,000 dollars.
On Monday, on chain analytics firm Coinglass noted that momentum remains uncertain, with lower highs continuing to shape the short term trend.
According to their analysis, the market seems to be shifting from an active distribution phase toward a more neutral position, although confidence at current price levels remains limited.
They added that while conditions are still fragile, reduced selling pressure and more stable capital flows indicate that the foundation for a potential recovery is developing. However, stronger demand will be necessary to confirm a lasting upward trend.
Bitcoin Returns to Accumulation Range
Data from CryptoQuant indicates that Bitcoin has moved back into an accumulation zone.
Analysts pointed out that large investors, often referred to as whales, are becoming more active on Binance, depositing significant amounts of Bitcoin that could potentially be sold.
Bitcoin has fallen about 4 percent over the past week, dropping below 66,000 dollars on Saturday and again on Monday. It later recovered slightly to around 68,000 dollars during early Asian trading on Tuesday, but faced resistance at that level.
Market analyst Daan Crypto Trades observed that price action is tightening within the 60,000 to 80,000 dollar range.
Another analyst, Sykodelic, maintained a bullish outlook, stating that Bitcoin is currently trading within the largest supply zone it has seen in over five years, sitting just below a strong long term bullish structure.
He contrasted this with conditions in 2022, noting that the current market shows broader signs of accumulation and greater strength. He added that the recovery phase could unfold faster than many expect.
Activity Across the Broader Crypto Market
The wider crypto market has seen slight gains in recent hours, though movements remain modest. A recent report from The Wall Street Journal indicated that Donald Trump is open to ending the conflict with Iran even if the Strait of Hormuz remains closed.
Ethereum posted a small increase, rising from around 2,000 dollars to 2,080 dollars before encountering resistance, reflecting continued weakness.
Meanwhile, most alternative cryptocurrencies remained flat, with low trading volume and additional declines recorded for XRP, Hyperliquid, and Canton.#crypto#cryptonews https://coinsignals.net https://t.me/coinsignalpublic
