- Retail sentiment swings between bullish and bearish, pushing Bitcoin’s price in opposite directions, creating volatility.
- Bitcoin faces resistance at the descending trendline, with support holding strong at $75K, showing mixed signals for the next move.
- Recent price movements reflect crowd psychology, with professional traders exploiting retail sentiment to capitalize on reversals.
According to sentiment analysis by Santiment, Bitcoin’s temporary price surge above $83K generated new enthusiasm, with the majority thinking the price would reach $100K. As has frequently been the case throughout 2025, however, the excessively bullish retail crowd was soon headed back down.
Bitcoin’s price dropped even as social volume increased, which suggests a shift from greed to fear. The data shows that when retail sentiment turns bullish, the price usually corrects subsequently, and bearish sentiment prior to prices rising.
Retail Sentiment and Price Reversals
As per the data, on March 23, the crowd turned bullish, but Bitcoin’s price declined. Similarly, the sentiment shifted again on March 25, only for the price to reverse downward. Notably, when retail traders’ mood turned bearish on March 29, Bitcoin saw a price surge. A similar pattern unfolded on March 31 when renewed bullish sentiment was followed by another price drop.
This trend shows that the emotions of retail traders are mainly responsible for pushing prices in the opposite direction. When retail traders become overly fearful, these anticipated changes can be taken advantage of by professionals who trade in the opposite direction. The data shows how crowd psychology leads to market volatility.
Technical Analysis: Support and Resistance Levels
Turning to the technical analysis, Bitcoin is currently navigating a critical phase. According to market analyst BOBO, Bitcoin remains solid above the $72K mark despite facing resistance from a descending trendline.
This trendline has prevented Bitcoin from reaching higher highs in recent weeks, with consistent resistance at lower levels. However, the price has stayed above a significant support level at $75K, which has held strong over the past year.
Bitcoin’s current price is hovering near $83K, testing the downtrend line. A move toward the $75K support zone is likely before a potential upward breakout. The price of Bitcoin may rise above $100,000 if it is able to break the trendline and move higher. Bitcoin might experience more downward pressure, though, if it is unable to maintain support.
