As Bitcoin (BTC) struggles to maintain its value, the cryptocurrency has dropped closer to a critical support level of $70,000. Traders are currently focused on defending the $75,000 mark, with the potential for further declines if this support fails.
Despite recent spot ETF outflows raising concerns about institutional interest in BTC, the open interest in Bitcoin futures has remained stable. This stability indicates that investors are either maintaining their long positions or opening new ones, as reflected in positive to neutral funding rates across exchanges.
Retail investors, according to Hyblock’s data, are increasingly viewing price corrections as opportunities to buy, with long exposure currently at 62%. Historically, this level has led to positive returns for BTC, occurring 82% of the time in similar past scenarios.
With the market's attention shifting toward the upcoming Personal Consumption Expenditures (PCE) report scheduled for May 29, analysts express caution regarding future price movements as investors navigate these critical economic indicators.