Bitcoin Price Mirrors 2022 Bear Market Pattern as CryptoQuant Warns of Weak Demand

Bitcoin may be repeating a pattern last seen during the 2022 bear market, with weakening demand and growing bearish sentiment raising concerns about further downside. According to market analysts, Bitcoin’s recent recovery lost momentum after failing to break above a major technical resistance level near $82,400.

Bitcoin recently rallied from its April lows before facing rejection at the 200-day moving average, a level often watched closely by traders to determine long-term market direction. After touching resistance, Bitcoin slipped back toward the $76,000 range, creating similarities with March 2022, when a temporary rebound ended before prices moved lower again.

Analysts say Bitcoin gained nearly 37% from its April 2026 bottom before meeting resistance, closely matching the roughly 43% recovery seen during the March 2022 bear market rally.

Bitcoin Demand Weakens as Market Sentiment Turns Bearish

Market data suggests demand for Bitcoin has weakened in recent weeks. Analysts noted that speculative buying in perpetual futures markets slowed sharply after Bitcoin moved above $82,000, while traders began reducing leveraged long positions.

Spot market demand has also weakened, adding pressure to prices. US spot Bitcoin exchange-traded funds (ETFs), which had purchased nearly 64,000 Bitcoin earlier in May, reportedly turned into net sellers and offloaded around 4,000 BTC.

Another sign of weak institutional demand is the negative Coinbase Bitcoin Premium, which has stayed below zero during both the recent rally and correction. Historically, stronger bull markets are usually supported by positive buying activity from US investors.

Key Bitcoin Support Level Remains Near $70,000

Analysts also pointed to a decline in CryptoQuant’s Bull Score Index, which dropped from 40 to 20, entering what researchers described as “extremely bearish” territory.

If Bitcoin continues to weaken, analysts believe the $70,000 level could become a major support zone, where traders historically reduce selling pressure and market demand begins to stabilize.