Bitcoin has recently dipped below the $64,000 mark, hitting new lows as selling pressure reaches unprecedented levels. Analysts are raising concerns that the bottom is not yet in, suggesting a potential decline to sub-$60,000 levels. Over the past four days, Bitcoin has plummeted 13%, dropping from $79,300 to its current price of approximately $63,844.

This significant drop has led to a sharp decrease in futures activity, with Bitcoin's open interest falling by over $10 billion in just a week. As traders reassess their positions, analysts are turning their focus to long-term technical zones and on-chain indicators that might indicate a major turning point for Bitcoin.

The $69,000 level is crucial, representing the peak of the 2021 bull market and serving as a psychological support for many investors. Historically, prior cycle tops have acted as support during bear markets, leading to speculation that Bitcoin might follow a similar pattern. However, the current dip below this level raises concerns about further declines.

Notably, a significant portion of recent transactions has occurred within the $58,000 to $69,000 range, which is also supported by the 200-week moving average near $58,000. This reinforces the idea that this range is a key demand zone for Bitcoin, with heavy transaction volumes showing investor interest.

Analysts have noted that large bids are appearing on order books between $68,000 and $65,000, indicating that buyers are ready to step in on dips. However, market sentiment remains fragile, as highlighted by the weekly relative strength index (RSI) falling below 30, a level Bitcoin has only touched four times before.

Historically, each time Bitcoin's RSI dropped below 30, the price rallied by an average of 16% within four days. This suggests that while current conditions may seem dire, there is a potential for a bounce-back. Yet, it's essential to approach these signals with caution, as the market remains volatile.

In addition to the RSI, the adjusted net unrealized profit/loss (aNUPL) has turned negative for the first time since 2023. This indicates that the average Bitcoin holder is currently at a loss, a situation reminiscent of previous market cycles that eventually led to price recoveries.

Despite the gloomy outlook, some analysts believe that the speed of sentiment deterioration is much faster than in previous cycles, suggesting a more acute reset rather than a gradual decline. This rapid shift could potentially shorten the capitulation phase, leading to a quicker recovery once the market stabilizes.

While the possibility of a relief rally exists, it may not materialize immediately. Market participants are advised to remain vigilant, as the current conditions could change rapidly. The historical context indicates that significant price movements often follow periods of intense selling, but predicting the exact timing remains a challenge.

In conclusion, Bitcoin's recent drop below $64,000 has raised questions about the market's direction. With record-high selling pressure and key technical levels being tested, the outlook remains uncertain. Investors should remain informed and prepared for potential volatility as the market continues to evolve.