Woofun AI reports that Bitcoin continues trading in bearish territory while on-chain indicators signal a potential market bottom near the $60,000 level. The asset currently trades below its True Market Mean Price of $77,000, a metric representing the average cost basis for actively traded coins and a primary gauge for overall market profitability.

Recent capital inflows from new investors have pushed the short-term holder cost basis down to $71,400, indicating that recent buyers are now holding positions at a loss. Despite these negative signals, the average daily realized loss has climbed to $205 million, a threshold historically correlated with market capitulation and the formation of price floors.

Woofun AI data shows this specific loss volume aligns with patterns observed during previous cycle bottoms.

Immediate technical resistance remains entrenched between $66,800 and $70,700, although emerging buying pressure has been detected on Coinbase. Analysis reveals the recent sell-off originated from spot market activity, with the derivatives market reacting secondarily by triggering long position liquidations. This sequence confirms the decline stems from genuine selling pressure rather than speculative leverage unwinding.

A concentration of long gamma exposure in the options market between $60,000 and $64,000 is currently suppressing spot price volatility. This specific positioning acts as a structural support zone, suggesting market makers are likely defending the $60,000 range as options dynamics often magnetize price action. While these signals do not guarantee an immediate reversal, they establish a clear framework for where support may solidify.

The $60,000 level, reinforced by options positioning and historical cost basis data, is now the focal point for potential market stabilization.

However, elevated realized losses and significant overhead resistance indicate the market structure remains fragile. A sustained recovery will likely require an external catalyst, such as a shift in macroeconomic conditions or renewed institutional demand. This alignment of metrics suggests a cautiously optimistic outlook for Bitcoin bulls as the asset approaches a cyclical low.