Bitcoin has made a swift recovery after temporarily dropping below $80,000 on Tuesday, now approaching the $81,000 level. The leading cryptocurrency is trading at $80,602 facing a critical 200 SMA test at $82,333 that could determine its direction for the rest of 2026. According to CoinsProbe analysis, a striking 2022 vs 2026 bearish fractal shows Bitcoin mirroring the same pattern with -52.52% correction in 2022 from $69,198 ATH and -52.62% correction in 2026 from $126,208 ATH, both now retesting the 200-day SMA as the critical decision level. The fractal comparison shows both declines reaching roughly 52% from their all-time highs before testing key resistance levels, with the 200-day Simple Moving Average at approximately $82,333 serving as the most widely watched trend-defining level in financial markets.
While all the other top 10 assets have posted double-digit gains within this period, XRP has only increased 8.2% and has failed to breach the pivotal resistance area around $1.50. According to Follings analysis, XRP currently trades within a parallel horizontal channel on the 12-hour timeframe that has continued to act as a roadblock to further upside. The cryptocurrency breached this resistance area during the rally in mid-March but collapsed below it again after reaching $1.60. When the price pushed to this area on April 17, XRP failed to breach it, facing a roadblock at $1.51 and then pulling back. As the price oscillates around $1.46, XRP trades within this channel once again, looking to break above the resistance area at the upper trendline, which aligns with $1.50. Follings projects that if XRP successfully overcomes this resistance, it could become the next big mover among altcoins.
Dogecoin ($DOGE) is trading in the green on Wednesday after experiencing two consecutive days of losses earlier this week, with the cryptocurrency now up 2% in the last 24 hours and trading above $0.11 per coin. DOGE is the second-best performer among the top 10 cryptocurrencies by market cap, behind Binance's BNB coin, as the crypto market's risk-on sentiment improved on Wednesday. The rally comes as the crypto market's risk-on sentiment improved on Wednesday as short-term bulls began to dominate derivatives markets. Data obtained from CoinGlass revealed that total liquidations of $240 million over 24 hours are driven by $180 million in long liquidations, consistent with Tuesday's decline. However, in the last 4 hours, short liquidations accounted for $17 million of the $21 million total, suggesting a short-term rebound. DOGE futures Open Interest shows a minor recovery to $1.7 billion, indicating that buyers retain demand despite the previous day's wipeout.
The recovery aligns with a surge in short liquidations over the last 4 hours across the crypto market, hinting at a potential upside shift. Bitcoin defended the $80,000 psychological support after hotter-than-expected U.S. CPI data triggered brief market volatility across risk assets. According to data from crypto.news, Bitcoin (BTC) traded around $81,300 at press time on May 13 after rebounding from intraday lows near $80,400 following the inflation report release. The latest U.S. CPI data for April delivered an unwelcome surprise with annual inflation rising to 3.8% against a forecast of 3.7%, with core inflation holding near 2.8%. The composition of the subsequent sell-off matters significantly, with on-chain data from CryptoQuant showing the hot CPI print triggered approximately $1.25 billion in Bitcoin derivatives de-risking — a decline in open interest consistent with leveraged positions being unwound rather than spot holders selling.
CryptoQuant analysts recently noted that their proprietary market cycle signal has flipped Bitcoin into early bull market territory for the first time since March 2023, suggesting longer-term momentum may still favor the upside despite short-term consolidation. On the daily chart, Bitcoin continues trading within a broader ascending channel structure that has remained intact since late March, with buyers repeatedly stepping in near the lower trendline support. The asset recently bounced near the 0.5 Fibonacci retracement level around $80,180, which continues acting as a critical short-term support zone. Bitcoin remains above its 20-day, 50-day, and 100-day simple moving averages, while the Supertrend indicator continues holding in bullish territory near the $75,500 region. Derivatives positioning shows traders continue heavily defending the $80,000 support region, with CoinGlass liquidation heatmap data revealing large clusters of leveraged liquidation liquidity concentrated between roughly $84,000 and $85,500.
