Bitcoin has dropped below $65,000 for the first time since early February, hitting a two-week low of $64,152. After closing last week below a key support level, some analysts warn that Bitcoin may be on the verge of a sharper decline, with another significant crash possibly ahead.
Analyst Rekt Capital noted a critical development: Bitcoin closed last week below the 200-week Exponential Moving Average (EMA), a level that sits within a major confluence zone. This EMA aligns with the highs of Bitcoin’s post-halving re-accumulation range, between $66,000 and $71,000. The low end of that range is around $58,000 to $60,000.
Over the past three weeks, Bitcoin tried to establish demand near this area, which had previously acted as a supply zone. However, Rekt Capital pointed out that this level hasn’t been a strong historical support for Bitcoin’s price, having served as a 10-month resistance in the past. He observed three consecutive weeks of high selling volume in this region with limited buying response, leading to a weekly close below the 200-week EMA. This loss of support suggests that a “second wave of bearish acceleration” could be next.
The analyst warned that with the weekly close below this level, Bitcoin will likely test the underside of the EMA, potentially turning it into new resistance. If that retest holds and the level acts as resistance, further downside becomes more probable.
Rekt Capital also highlighted similarities to past cycles. In 2018 and 2022, a weekly close below the 200-week EMA triggered a second wave of bearish momentum, where Bitcoin tried to reclaim the level, turned it into resistance, and then fell further. He believes this pattern may be repeating.
Similarly, analyst Ali Martinez pointed to Bitcoin’s historical performance on the three-day chart. He noted that a crossover between the 50-day and 200-day Simple Moving Averages (SMAs) on this timeframe has historically preceded the final decline of a bear market. Before such “death crosses” occurred in late 2014, 2018, and mid-2022, Bitcoin had already fallen 50%-72% from its cycle peaks. After the crossovers, it declined another 45%-52%.
Now, Bitcoin is down over 52% from its October 2025 peak and could see a death cross on the three-day chart by the end of February. Martinez warned that if history repeats, this could signal the start of the cycle’s final downward leg. He predicts a potential further correction of 30%-50% from current levels, which would bring Bitcoin down to the $30,000-$40,000 support range. He concluded that if the death cross confirms, it should be taken very seriously.Hello! How can I assist you today?
Frequently Asked Questions
FAQs Bitcoins Recent Price Decline Key Support Levels
BeginnerLevel Questions
1 What does closing the week below a key support level mean
It means that when the weekly trading period ended Bitcoins price finished below a specific price point that many traders and investors believed was a floor This support level is a price where buying interest was historically strong enough to prevent further declines Breaking below it suggests that selling pressure has overcome that buying interest
2 Why is falling below a key support level a big deal
Its a significant technical signal Think of support like a glass floor As long as the price stays above it theres confidence Once it breaks it can trigger more selling as traders who bought at that level may sell to cut losses and others may see it as a sign of weakness leading to a potential downward trend
3 What could cause Bitcoin to decline further
Several factors could contribute including broader stock market downturns negative regulatory news large holders selling reduced investor sentiment rising interest rates making safer investments more attractive or simply the momentum from breaking support leading to more panic selling
4 Im new to this Should I be worried about my investment
Volatility is normal for Bitcoin Its crucial to only invest money you can afford to lose and have a longterm strategy Shortterm price movements are unpredictable If you believe in Bitcoins longterm potential price dips can be opportunities to learn more but never invest based on fear or hype alone
5 What is a support level in simple terms
Its a price level where a falling asset has stopped falling and bounced back up several times in the past Its like a price floor where a lot of people have historically decided This is a good price to buy
Intermediate Advanced Questions
6 How are these key support levels determined
Traders use technical analysis studying charts to identify prices where the asset has repeatedly reversed its downtrend Common tools include moving averages previous swing lows and volumebased indicators The level that was broken was likely one watched by many market participants
7 Whats the difference between a support break and a fakeout or false breakdown
A genuine break sees the price close