HeadBanger

The current financial market is permeated with the main theme of 'consolidation', with Bitcoin$BTC and U.S. stocks both caught in a directionless stalemate.
Bitcoin experienced a dramatic drop from 86,000 to 60,000 at the beginning of the month, then rebounded strongly back to 70,000. Currently, it is trading in a range of 67,000 to 71,000. This is not merely a price stagnation, but rather a period of pain for market deleveraging: futures funding rates remain low, and although there have been sporadic buying activities since over $3 billion exited ETFs in January, institutions are no longer chasing higher prices, adopting a cautious stance of 'bullish but not buying' to price risks. On the technical front, the weekly RSI has fallen to an extreme oversold level of 15.9, a ten-year low, and historical experience suggests there is resilience at the lower levels, but it can only be seen as a corrective rebound until it stabilizes above 72,000.

The global financial landscape is experiencing a state of high correlation, where assets have abandoned their differences to move in a unified downward trajectory, reflecting a peak of pessimism and concerns about market liquidity.
1. US Stocks: Continued Downward Momentum
The S&P 500, Dow, and Nasdaq indicators confirmed the continuation of the downward trend by recording consecutive lower highs. Strong bearish candle closures indicate that momentum is accelerating downward, with a clear absence of buyers at current support levels.