BTC and S&P 500 Hover Below Critical Resistance, Indicating More Bitcoin Losses Ahead

Bitcoin Battles $80K as Short-Term Holders Dump Over 100,000 BTC

Bitcoin (BTC) is facing continued downward pressure, slipping 3% on Thursday and extending its Q1 decline to 13%. Currently hovering near $80,000, BTC remains about 30% below its record high from January, with bearish sentiment dominating the market.

On-chain data from Glassnode reveals that short-term holders—investors who have held BTC for less than 155 days—have offloaded over 100,000 BTC (roughly $8 billion at current prices) since February. These traders, known for buying during market euphoria, appear to be exiting amid uncertainty, adding to selling pressure.

BTC’s drop has placed it below the 200-day moving average of $86,300, a key technical level often watched for long-term trend direction. The weakness isn’t isolated—U.S. equities are also feeling the heat, with the S&P 500 slipping under its own 200-day moving average, now sitting at 5,537 compared to the critical 5,738 mark.

Commercial litigator and Bitcoin advocate Joe Carlasare highlighted this correlation, warning that failure to reclaim the 200-day moving average could spell further declines. “History shows when assets can’t break back above this level, more downside is likely,” he wrote on X.

With both BTC and equities under pressure, investors remain cautious about the road ahead.

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