Bitcoin at $60,000: Life and Death Battle — Complete Market Data Analysis, Is Now the Time to Buy or Wait and See?

After a intense reshuffle led by leveraged liquidations, the crypto market took a breather on February 25. According to Gate行情 data, Bitcoin (BTC) rebounded strongly this morning after yesterday’s sharp decline. The current price is around $65,000, with a 24-hour high of $66,309.7 and a low of $62,501. This rollercoaster has brought Bitcoin to a critical test of the $60,000 level: is this the last dip before dawn, or a relay station on the bear market road?

Liquidation Map: $1.6 Billion Focused on Long-Short Battle

This rebound is built on the massive liquidations from the previous trading day. While market sentiment often attributes price movements to news, deep down, excessive leverage accumulation is the core driver behind the sharp turn.

According to Coinglass data, yesterday the total forced liquidation across the entire crypto market approached astronomical levels. Currently, liquidation hotspots are highly concentrated. Based on the latest liquidation intensity data, if Bitcoin can break above $66,000, the total short liquidation on major centralized exchanges (CEX) could reach an astonishing $1.593 billion. This would trigger a “stampede” of short squeezes, pushing prices higher.

Conversely, if the bulls falter and prices fall back, the downside risk is equally significant. If Bitcoin drops below $62,000 support, the total long liquidation on major CEXs could reach $717 million. Even more, some models suggest that if it falls below $62,139, the total potential long liquidation could hit $1.697 billion. This high-intensity liquidation landscape means any breakout in either direction will be extremely volatile.

Rebound Quality: Divergence Between Technical Indicators and Macro Logic

Although the price has recovered near $66,000, market analysts remain cautious about the “quality” of this rebound.

From a technical perspective, Bitcoin found strong support at $62,501 and quickly bounced, but faced resistance at $66,309. Currently, the price is oscillating around the 5-day moving average. The real test lies in the resistance zone between $67,200 and $68,000. Without a volume-driven breakout through this area, the rebound may only be a technical retracement.

On-chain and derivatives data also reveal concerns. Despite the rebound, funding rates on major CEX and DEX platforms still show a bearish bias, with most altcoins remaining in negative funding territory. This indicates that overall market sentiment has not reversed due to a single-day bounce, and short hedging demand remains strong. Independent analysts point out that the largest holder groups are those who bought near the high and are currently at a loss. These trapped positions are being forced into “strong hands,” while new capital inflow remains limited. The market is still in a defensive mode.

Support and Resistance: The Battle at $60,000

The current market structure shows a clear “long vs. short” duel. For traders, focusing on specific key levels is more practical than predicting a single direction.

• Resistance: Immediate resistance is at $66,309, the recent high. If this level is broken convincingly, the price could head toward the $67,200–$68,000 zone, where many short positions are clustered and which will test the rebound’s strength. Breaking above $68,619 could trigger a larger short squeeze, pushing the price toward $70,000.
• Support: The primary support is at the psychological $65,000 level, the foundation of today’s rebound. If it falls again, the previous low at $62,500 will be tested. If the $62,000–$62,139 zone fails, the market could face heavy selling pressure, potentially triggering a cascade of liquidations and accelerating toward the $60,000 mark.

Conclusion

Bitcoin’s $60,000 test is fundamentally a liquidity and confidence test. The $1.593 billion short liquidation pool above $66,000 is a bullish beacon, while the massive long stop-losses below $62,000 form an abyss.

Today’s rebound is fierce, but funding rates remain bearish, indicating the market has not fully shifted into a bullish trend. At this point, right-side traders might wait for a confirmed breakout above $66,500 before acting; left-side traders should strictly control their positions, or use tools like Gate Finance to buy time and seek certainty amid volatility. This cautious approach prepares for a potential bottoming or a deeper correction.