Bitcoin’s rebound approaches the $85,000 zone where past buyers may sell

Bitcoin and Ethereum extended their weekend recovery, although on-chain indicators and derivatives positioning suggest the rebound faces significant obstacles. Data from CryptoSlate showed that Bitcoin briefly climbed above $84,000 after falling toward $80,000 during last week's selloff. Ethereum also recovered above $2,500, reversing part of its recent losses as buying activity returned to the cryptocurrency market. However, Bitcoin's advance has brought it closer to a major concentration of investor acquisition costs between $84,000 and $85,000, where selling pressure could intensify. Meanwhile, Ethereum's recovery comes as larger derivatives traders appear to be reducing their bullish exposure despite substantial outstanding positions.

Source: CryptoSlate