The recent trend of Bitcoin has drawn widespread attention in the market. In the early hours of Friday, Bitcoin experienced a decline of nearly $5000, but around 11 PM that night, it stopped falling and began to rebound, subsequently rising above the level before the drop. The price again approached the $120,000 mark, and after several hours of oscillation in that area, it faced pressure once more.

Observing market dynamics reveals that when the Bitcoin price approaches $120,000, sell order pressure significantly increases. This indicates that breaking through this threshold may face considerable resistance, and the market may need more time to digest this pressure.

From a technical perspective, the current trend bears resemblance to the situation on January 27 of this year. At that time, Bitcoin also experienced a large daily bearish candle, falling below the previous multi-day consolidation support level, and then stopped falling and rebounded to the level prior to the decline, but ultimately failed to break through the resistance level and continued to decline.

Based on this analysis, Bitcoin may continue to face downward pressure in the short term. If a significant fall occurs again, the market may further deteriorate. Therefore, for traders, setting short positions above $119,000 may still be a relatively safe strategy.

However, it is important to note that the cryptocurrency market has always been highly volatile, and investors should act cautiously and manage risks well. At the same time, it is also essential to closely follow market dynamics and potential positive news, as these factors can significantly impact the price of Bitcoin.