Bitcoin Price Must Break $76,000 to Confirm Rally

Bitcoin's price action is currently in a state of stabilization after defending the $60,000 demand region. The cryptocurrency remains trapped in a broader corrective structure, with its daily chart still leaning cautiously as it trades below major moving averages and beneath the descending resistance trendline.

The 100-day MA is trending lower near the mid-$80,000 region, while the 200-day MA sits even higher around the mid-$90,000s. BTC is also still moving beneath the descending trendline that has guided the correction for months, indicating that buyers have not yet delivered a convincing structural reversal.

However, on-chain data suggests that downside risk may be more limited than it was near the highs. The Net Unrealized Profit and Loss (NUPL) reading has fallen sharply to around 0.20, which is a major reset compared to the euphoric readings seen during the rally toward the cycle highs.