K33: Bitcoin enters extreme weekly oversold zone, selling pressure eases and may be brewing a short-term rebound opportunity

ChainCatcher news, K33 pointed out in its latest analysis report that after several consecutive months of selling pressure, bitcoin has entered the most extreme weekly oversold zone in its history. Previously, the selling pressure mainly came from long-term holders and institutional investors, but recently these pressures have begun to ease, and the market is showing signs of temporary stabilization.

K33 noted that historical data shows that after similar extreme bearish cycles, bitcoin often experiences a temporary rebound. The bottom formation phase still requires time, but extreme oversold conditions, deleveraging in derivatives, and the recovery of long-term supply together indicate opportunities for a temporary rebound. However, the options market shows strong bearish sentiment, with investors paying high premiums for downside protection, and negative funding rates indicate that the market's demand for deleveraging long positions or establishing short positions continues to exist.