Bitcoin Surges Past $64K, But Analysts Fear A Bull Trap

Bitcoin recently jumped past $64,500, marking its highest price in over a week after a period of sideways trading. While the green candles brought some short term relief to the market, analysts are warning that this move might be a bull trap rather than the start of a sustained uptrend. Several warning signs are piling up quickly.

Market data highlights multiple sources of heavy selling pressure. Bitcoin miners have sold nearly 1,650 coins over the past ten days, adding roughly $106 million in potential supply to the market. At the same time, spot Bitcoin ETFs saw nearly $400 million in outflows last week. Exchange balances also jumped by almost 25,000 coins in ten days, pointing to rising sell side liquidity.

Beyond on chain metrics, macro factors are adding uncertainty to the mix. Ongoing tensions in the Middle East continue to cast a shadow over risk assets, including cryptocurrencies. Traders should keep a close eye on key support levels between $63,110 and $61,850, as a breakdown below this zone could send prices toward $54,300.