BTC surged to $87,400 before pulling back: a shakeout or a failed breakout? The daily trend still leans bullish, while the 4-hour chart is currently retesting support. There's significant resistance near $88,000, but it's too early to conclude that the entire rebound is over. OKX This rally is driven by both ETF spot buying and short covering, not just a simple contract spike. During the pullback, open interest dropped significantly, and funding rates briefly turned negative, indicating that high-leverage long positions are being cleared out. Despite the price correction, ETFs are still seeing net inflows, and exchange balances haven't increased noticeably. This looks more like profit-taking and high-level rotation rather than a concentrated institutional exit. Technically, the daily chart remains above the short-term moving averages, and the upward structure is intact. However, on the 4-hour chart, highs are starting to shift lower, and trading volume hasn't expanded further. Bulls have transitioned from aggressive offense to defense. The focus now is on three key zones: - $83,000-$84,000 is the first support level. Holding this area could allow for a rebound to $86,000 and another challenge of $87,400-$88,000. - $80,000-$82,000 is the lifeline of this breakout. A retest without breaking below would be considered a normal shakeout; if it breaks and fails to reclaim, the market will likely enter a weak consolidation phase. - Only a strong breakout above $88,000 with volume can open up the $90,000-$92,000 range. Risk appetite in U.S. equities hasn't fully deteriorated yet, but the 10-year Treasury yield has climbed back above 5%. High interest rates will continue to limit BTC's upside potential. In the coming days, I lean toward consolidation first, followed by a directional move. For positions, watch the $82,000 support level. If you're sidelined, wait for a confirmed retest. The bias is bullish, but that doesn't mean every price level is worth buying.