Price approached the area but did not establish a daily close above either level. Bitcoin also remains inside the descending channel that has produced lower highs since July 21.
The proximity of the 50-day SMA and the Fibonacci retracement creates one resistance band rather than two isolated levels.
Bitcoin previously traded above this area before losing it during the latest correction. Recovering only the lower edge would leave the Fibonacci level and the descending channel overhead.
A daily close above the full range would repair part of the recent technical damage. The upper channel boundary would still need to break and hold after successful retest before the sequence of lower highs ended.
Horizontal support sits near $62,100, close to the lower portion of the descending channel. The area has already stopped several declines during the current correction.
A daily close below $62,100 would remove the nearest horizontal floor and place the channel boundary under pressure. If both levels fail, the chart shows limited established support before the broader area around $58,000.
That zone stopped the late-June decline, although its previous reaction does not guarantee that buyers would defend it again.
The latest weakness coincided with a large increase in exchange deposits from recent Bitcoin buyers.
CryptoQuant analyst Darkfost posted on X that short-term holders sent more than 32,000 BTC to exchanges at a loss on August 1. It was one of the largest such movements recorded during the previous 30 days.
Short-term holders generally bought their coins more recently than long-term investors. Moving Bitcoin to an exchange below its acquisition price shows that some of those positions were under pressure.
An exchange deposit does not confirm that every coin was sold. It does place the Bitcoin where it can be traded more easily, increasing the amount of available supply while price is already struggling below resistance.
The inflow occurred close to Bitcoin’s failed recovery near $63,600. The timing does not prove that short-term holders caused the rejection, but it shows that recent buyers were moving underwater positions toward trading venues during the same period.
Large loss-related deposits can appear during capitulation, but the movement alone does not show that selling has finished.
The coins may remain on exchanges, be sold to other short-term traders or continue circulating between speculative accounts. The data also does not identify who absorbed any Bitcoin that changed hands.
A more constructive development would require the loss-related inflows to slow while price stabilizes and spot demand absorbs the available supply. Until then, the 32,000 BTC movement remains evidence of stress among recent buyers rather than confirmation that the correction has reached its end.
Bitcoin remains inside the descending channel, with $62,100 protecting the downside and the former support band overhead. A daily close outside those boundaries would provide more information than another intraday move within them.
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