Analysis: Bitcoin has entered an extreme weekly oversold zone, with selling pressure easing or brewing a potential rebound opportunity

By: rootdata|2026/03/04 21:43:44
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According to The Block, K33 pointed out in its latest analysis report that Bitcoin has entered the most extreme weekly oversold range in history after experiencing several months of selling pressure. This selling pressure primarily came from long-term holders and institutional investors, but recently, these selling pressures have begun to ease, and the market is showing signs of temporary stability.

K33 noted that historical data shows that after similar extreme bearish cycles, Bitcoin often experiences a phase of rebound. The bottom formation phase still requires time, but extreme overselling, derivative deleveraging, and the recovery of long-term supply all point to a potential phase of rebound.

However, the options market shows strong bearish sentiment, with investors paying high premiums for downside protection. The negative funding rates indicate that there is still ongoing demand for deleveraging among bulls or for establishing short positions.

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