Going below $60,000?... Bitcoin's Risk Index Enters High-Risk Zone

▲ Bitcoin (BTC), cryptocurrency decline, bear market / AI generated image ©

A warning has been issued that the safe market environment supporting Bitcoin (BTC)'s recovery to $83,000 is shaking, as its risk index has re-entered the high-risk zone.

According to the cryptocurrency media outlet Bitcoinist on May 27 (local time), market analyst Crypto Tice analyzed that Bitcoin's market structure is weakening and the risk of decline is increasing. He stated via X (formerly Twitter) that Bitcoin's risk index has moved back into the high-risk zone.

Crypto Tice explained that this change is a sign that the safe market conditions that supported Bitcoin's recovery to $83,000 have begun to crumble. He noted that the price range between $78,000 and $79,000, which acted as a break-even point for many traders, has already been breached. The diagnosis is that selling pressure is no longer fully absorbed by buying power, and sellers are starting to exert greater influence over short-term price direction.

Regarding Bitcoin's next move, Crypto Tice presented two paths. If Bitcoin's risk index falls below 25 again, the market could stabilize and the recovery trend could continue. Conversely, if the risk index continues to rise, it could be an early confirmation signal that a broader downtrend structure has officially begun, and recent support levels may enter a vulnerable phase where they can no longer hold, he analyzed.

Another cryptocurrency expert, Killa, pointed out that Bitcoin is currently at a turning point that will determine the overall market direction. He believes that if Bitcoin maintains its current level and rebounds to the $81,000 to $82,000 range, it would confirm a market structure shift and be a strong bullish signal supporting further upward movement.

However, Killa warned that if Bitcoin breaks below its current support level, the bullish structure would automatically be invalidated and could lead to a deeper correction. In this scenario, strong selling pressure could lead to Bitcoin falling below $60,000. Bitcoinist reported that with Bitcoin at a critical price turning point, further changes in the risk index have emerged as a key confirmation signal that will determine the next trend.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*